The gold price is going through a phase of hesitation for the second day in a row. Although sales are limited, the precious metal is trading just below the all-time high reached last week. This context of stagnation is largely influenced by measures of economic stimulation of China, which attract investors towards riskier assets. However, growing geopolitical tensions in the Middle East are helping to limit losses in the gold market.
Also read: What price will gold be in 2025?
The role of geopolitical tensions in the Middle East
The escalation of conflict between Israel and Iranian allies – the Houthis in Yemen and Hezbollah in Lebanon – has reached a new threshold. On Sunday, Israel launched multiple airstrikes against strategic targets, including power plants and a port in Yemen. These attacks, which also cost the life of a senior Hezbollah leader, revive fears of a generalized war involving Iran and the United States, Israel’s main ally. In this uncertain context, investors are seeking to protect themselves, and this supports the price of goldoften considered a safe haven in times of crisis.
What is the price of a gold bar today? | ||||
| Gold price per carat | Price/g | |||
| Or 999 | 999,9 ‰ | i.e. 24 carats | 76,5846 | € |
| Or 917 | 917 ‰ | i.e. 22 carats | 70,2351 | € |
| Or 900 | 900 ‰ | i.e. 21.6 carats | 68,9331 | € |
| Or 750 | 750 ‰ | i.e. 18 carats | 57,4442 | € |
| Or 585 | 585 ‰ | i.e. 14 carats | 44,8065 | € |
| Or 375 | 375 ‰ | i.e. 9 carats | 28,7221 | € |
| Or 333 | 333 ‰ | i.e. 8 carats | 25,5052 | € |
| OR | dents | or 2% | 15,3185 | € |
| (Price constantly changing – Sources Bdor.fr) | ||||
The Fed and the US dollar: determining factors
Market expectations surrounding the company’s next decisions US Federal Reserve (Fed) constitute another major element. With a 50 basis point interest rate cut considered at the November meeting, the outlook remains favorable for the gold market. Despite these prospects of lower rates, the US dollar is stabilizing after reaching its lowest level since July 2023. This context suggests that resistance for the price of gold is oriented upwards, particularly in the absence of yield on this type of asset.
Technical outlook: $2,700 threshold remains crucial
On the technical side, the bulls continue to defend their positions, although some obstacles remain to be overcome. If the price of gold were to fall, support could be around the $2,625 area, with an intermediate step around $2,600. A break below this threshold could lead to a deeper correction, with potential targets around $2,560.
Conversely, if investors manage to push the gold price beyond $2,670-2,671, the next resistance would be around $2,685-2,686, before reaching the symbolic mark of $2,700. A breakout at this level could restart a lasting uptrend, thereby strengthening investor confidence.
Towards a key speech by Jerome Powell
Traders are now eagerly awaiting Fed Chairman Jerome Powell’s speech, which could provide clarity on upcoming monetary policy. His speech could influence not only interest rate decisions, but also overall market sentiment when it comes to safe assets like gold. The role of the Federal Reserve thus remains central in the evolution of gold price forecasts, with potential movements to be expected after this expected speech.
Overall, although gold remains in a consolidation phase, international tensions and upcoming monetary decisions will play a decisive role in its near-term evolution.
