Gold Hits New High! Weak Dollar and Global Tensions Fuel the Surge

Gold prices hit a fresh weekly high as investors turned to safer assets, while the U.S. dollar weakened. Rising tension in the Middle East and softer U.S. inflation data boosted demand for gold. Spot gold rose about 0.6%, reaching roughly $3,373 an ounce, while U.S. gold futures were up around 1.5%.

The drop in the dollar made gold cheaper for buyers using other currencies, prompting more interest. Technical traders also stepped in after gold cleared the $3,346 resistance level. Additionally, growing expectations that the Fed might cut interest rates—possibly by around 50 basis points by year-end—pushed more money into gold.

Gold

Investors are now watching upcoming U.S. producer price index (PPI) data for clues on inflation trends. Meanwhile, heightened geopolitical risks—like U.S. troop movements in the Middle East and cautious U.S.-China tariff talks—are adding to the safe-haven demand.

Other precious metals also moved: silver rose about 0.4%, platinum gained 1.2%, and palladium dipped roughly 1%.

Impact: Gold might remain strong if global risks persist. With dollar weakness and Fed rate-cut hopes, prices could possibly push toward $3,400 soon.

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Gold Hits New High! Weak Dollar and Global Tensions Fuel the Surge