Gold Prices Recover Nine Percent After US-Iran Conflict Selloff
· Business · Economic Times, LiveMint, Zee News
Gold has recovered 9% in August to reach approximately $4,400 an ounce, driven by renewed buying from institutional investors and central banks. The precious metal previously tumbled from a record $5,595 an ounce in January to below $4,000 in June following the outbreak of the US-Israeli war with Iran in late February. Lower oil prices and softer US inflation data have reduced expectations for further interest rate increases, supporting the current recovery. However, stalled peace efforts and weak demand could limit future price gains according to analysts. The report does not specify exact purchase volumes or which specific central banks acquired the metal.
Why it matters
Investors and central banks reassess safe-haven asset allocations as precious metal markets stabilize following geopolitical shocks.
Read the original report — Economic Times
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