Gold prices remained steady above $2,600 per ounce as demand surged due to mounting geopolitical tensions and expectations of a cautious Federal Reserve stance. Investors flocked to the safe-haven asset amid global uncertainty, driving prices to multi-month highs.
The Federal Reserve’s dovish tone, signaling a pause or slowdown in rate hikes, has further supported gold’s upward momentum. Lower interest rates typically bolster the precious metal by reducing the opportunity cost of holding non-yielding assets. As geopolitical risks and inflation concerns persist, gold’s appeal as a hedge continues to grow, keeping it firmly positioned as a key asset in uncertain times.
