Gold rises to three-week high as US tariffs and Iran tensions boost demand

💡 DMK Insight

Gold’s surge to a three-week high signals a shift in market sentiment driven by geopolitical tensions. With XAU/USD climbing nearly 2.20% amid rising uncertainty over US trade policy and escalating tensions with Iran, traders should note that safe-haven assets are back in focus. This uptick could indicate a broader risk-off sentiment, prompting investors to hedge against potential market volatility. If gold can maintain its position above the recent resistance around $5,200, we might see further bullish momentum. Watch for any news on US trade negotiations or developments in the Iran situation, as these could significantly impact gold’s trajectory. However, it’s worth considering the flip side: if tensions ease or trade talks progress positively, we could see a rapid pullback in gold prices as traders shift back to riskier assets. Keep an eye on the daily closing prices; a sustained move above $5,200 could attract more buyers, while a drop below this level might signal profit-taking or a return to risk appetite.