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Gold, a traditional safe-haven asset, is benefiting from rising uncertainty linked to international trade tensions, helping it consolidate gains and stay above the symbolic threshold of $3,300 per ounce.

Recent Macroeconomic Developments

Persistent trade tensions between major economies continue to bolster gold’s appeal as a safe haven amid geopolitical risks and increased financial market volatility. These uncertainties support sustained demand for the precious metal, widely seen as an effective hedge against economic and geopolitical risks.

At the same time, accommodative monetary policies characterized by negative real interest rates in several regions reduce the opportunity cost of holding gold, further enhancing its attractiveness. Underlying inflation, though variable, is prompting some investors to favor gold as protection against loss of purchasing power.

The relative weakness of the US dollar also plays a key role by supporting gold prices, making it more accessible to international investors. Lastly, inflows into gold ETFs and physical demand remain robust, confirming ongoing interest from both institutional and retail investors.

Analyst Recommendation
Analysts maintain a neutral to positive stance on gold, expecting the precious metal to continue benefiting from the uncertain macroeconomic environment. However, they advise monitoring closely:

• Developments in trade negotiations and geopolitical tensions

• Central bank decisions, especially from the Federal Reserve, regarding monetary tightening

• The dynamics of the US dollar and its impact on capital flows