Despite Economic Headwinds, Gold Continues Its Surprising Uptrend

Gold prices have remained stable near record highs despite the Federal Reserve Chair Jerome Powell’s recent remarks suggesting that interest rates may be maintained for a prolonged period. This year, gold has appreciated by about 15%, bolstered by safe-haven demands due to escalating geopolitical tensions in the Middle East and Ukraine. Even though rising Treasury yields and a stronger dollar typically undermine gold’s attractiveness, the metal has continued its upward trend, surprising many observers. This resilience is supported by significant central bank purchases and growing demand from Chinese consumers. As of the latest trading session in London, spot gold was priced at $2,382.40 per ounce, nearing its peak of $2,431.52.