Gold Daily | Gold Surges to Record $3,452 Amid Middle East Tensions and Bullish Market Momentum

【Latest Gold Price and Recent Trends】

Gold prices have surged due to escalating Middle East tensions, reaching a record weekly close at $3,452.3 per ounce, up 3% this week. Israel's recent airstrikes on Iran have intensified geopolitical risks, driving investors to seek traditional safe-haven assets like gold over the U.S. dollar.

【Technical Analysis】

Gold has confirmed a bullish breakout, surpassing the key resistance at $3,400 per ounce. Analysts suggest the price may continue to challenge psychological levels at $3,480 and $3,500 per ounce. An increase in bullish positions indicates strong momentum, with hedge funds and institutional investors boosting gold holdings for three consecutive weeks.

【Market Sentiment and Economic Background】

The Middle East conflict has heightened market uncertainty, with gold benefiting from increased safe-haven demand. Despite a slight rebound in the U.S. dollar index, gold has dominated safe-haven flows. Economic factors such as potential Federal Reserve policy shifts and weak manufacturing PMI data in China and Europe also impact silver prices, highlighting the disparity with gold's upward momentum.

【Analyst Opinions】

Analysts see gold's unique role as a key currency asset gaining renewed importance amid global de-dollarization and U.S. debt concerns, reducing its opportunity cost as a non-yielding asset. Roukaya Ibrahim from BCA Research views gold as a core asset amid cyclical and structural benefits. Despite silver and platinum catching up, gold remains advantageous, especially with ongoing inflation risks and trade tensions. Long-term demand from central banks underpins gold's value, with predictions of continued strong growth in official reserves. Investors recognize gold's strategic importance as a diversification tool, solidifying its market position even above $3,000 per ounce.