Concerns about a possible US government shutdown, prolonged central bank purchases, and persistent geopolitical tensions might soon push gold prices to a record high of $4,000 per ounce. Though some see a price correction soon, market analysts warn that the present rise may be coming to an end. Gold shot up to a fresh all-time high of $3,949 an ounce on Monday. The price of 22K gold was Dh440, while 24K gold was trading at a record Dh475 per gram in the United Arab Emirates.
Wael Makarem, Exness’s Financial Market Strategist Lead, ascribed the spike to anticipated interest rate reductions and increased geopolitical unpredictability. Makarem told Khaleej Times on the sidelines of the Forex Expo Dubai that there may be negative pressure on gold due to concerns about a US government shutdown and indications of a potential halt in the nation’s deficit growth. As we approach $4,000, the enthusiasm hasn’t slowed down. Investors should exercise caution, though, as market corrections can happen just as swiftly.
Gold can easily hit $4,000 this year, according to Shadi Salloum, Regional Director for Mena at XS.com. The price of gold just reached $3,930 per ounce. “Safe-haven assets like gold tend to spike during times of economic uncertainty or geopolitical tension,” he said.
Also Read:
Rahim Abu Omar: Defining Luxury Hospitality through Heritage and Elegance
