Gold Prices Register Rise

Gold prices registered an ascent today, Friday, supported by a decline in the US dollar, while investors continue to monitor developments in the Middle East and global monetary policy expectations. December gold futures on the Comex exchange rose by 0.73% to reach $4432 per ounce. Spot gold also climbed by 1.1% to $4389.54 per ounce, as of 11:15 Moscow time. In this context, Ahmed Asiri, research expert at "Pepperstone", indicated the potential weakening of the relationship between gold and oil. This could occur if oil prices experience a sharp correction that calms inflation and interest rate hike expectations, or if a significant escalation leads to a global recession, or if a state of financial risk disregard overtakes the scene, ignoring the path of interest rates. The US Federal Reserve had raised interest rates last Wednesday, hinting at further increases in the future. Meanwhile, Goldman Sachs maintained its gold price forecast at $5400 by the end of 2027, despite the US central bank's interest rate hike. The institution stated that tightening monetary policy is likely to slow the ascent of the precious metal, but it will not fully impede it. Although gold is typically viewed as a hedge against inflation, high interest rates can limit its appeal, given that they increase the attractiveness of other yield-bearing assets.