Headline: "As Gold Continues Its Peak Exploration: What Are the Short and Long-Term Expectations?"

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Headline: "As Gold Continues Its Peak Exploration: What Are the Short and Long-Term Expectations?"

Gold has maintained its long-term upward trend, reaching a record high of $2,758 yesterday. However, it pulled back 1.2% by the end of the day, finding support at $2,715 due to profit-taking. Currently, gold continues its buying momentum, increasing by nearly 1% to approach $2,740.

Domestically, gram gold experienced similar fluctuations. After reaching a record level of 3,037 TRY on Tuesday, it fell to 2,987 TRY amid a wave of selling. By the evening today, gram gold is trading with a 0.75% increase at 3,015 TRY.

Research analysts from ANZ predict that gold will continue to rise in the long term. However, they warn that the current rapid increase might slow down soon. Factors like political uncertainties and U.S. government debt enhance gold's appeal as a safe haven. They note that if the market focuses on the Fed's interest rate policies, profit-taking in gold prices might occur.

Ole Hansen, Head of Commodity Strategy at Saxo Bank, stated that gold and silver serve as hedges against rising yields and a strengthening dollar. Hansen emphasized that these metals are used as a safeguard against political uncertainties ahead of the upcoming U.S. elections.

Hansen pointed out that financial instability, geopolitical tensions, and central banks' demand for dedollarization are among the driving forces behind this rise. Furthermore, interest rate cuts by the Fed and other central banks reduce the cost of holding non-interest-bearing assets like gold and silver, making them attractive to investors. Western asset managers' interest in gold-backed ETFs has also been supportive during this period.

Hansen remarked that these managers, who were net sellers until May 2024, have now turned to buying gold. Geopolitical factors and market uncertainties push investors to view precious metals as a safe haven against potential risks. This situation continues to support the rise in gold and silver and reinforces investors' pursuit of portfolio diversification.