Gold price experienced a significant shift on Friday, rising by $100 due to concerns about geopolitical uncertainty and a flight to safety. This increase was also fueled by investors covering their short positions in anticipation that the ongoing conflict between Hamas and Israel could continue to drive up Gold prices. In American trading, the precious metal surged from $1,832 to reach three-week highs at $1,933 after a steady climb.
Additionally, Gold price gained strength as demand for US Treasuries waned amid worries about increasing deficits. The rally in Gold price was further supported by a pause in the recovery of the US Dollar following dovish statements from the Federal Reserve.
However, as Monday arrived, there was some retracement in Gold price as it corrected itself after Friday's substantial movement. Surprisingly, this pullback occurred despite relatively stable performance from the US Dollar. It is worth noting that an uptick in US Treasury bond yields may have contributed to this retracement in Gold price as well.
Overall, these recent developments highlight how uncertain geopolitical events and shifts in financial markets can impact fluctuations in Gold prices.
Additionally, Gold price gained strength as demand for US Treasuries waned amid worries about increasing deficits. The rally in Gold price was further supported by a pause in the recovery of the US Dollar following dovish statements from the Federal Reserve.
However, as Monday arrived, there was some retracement in Gold price as it corrected itself after Friday's substantial movement. Surprisingly, this pullback occurred despite relatively stable performance from the US Dollar. It is worth noting that an uptick in US Treasury bond yields may have contributed to this retracement in Gold price as well.
Overall, these recent developments highlight how uncertain geopolitical events and shifts in financial markets can impact fluctuations in Gold prices.
