Geopolitical Tensions in Middle East Boost Gold Prices

Gold prices have risen due to ongoing geopolitical tensions in the Middle East, recovering earlier losses and enhancing the appeal of precious metals as safe-haven assets. According to Jin10, the United States shot down an Iranian drone targeting the USS Abraham Lincoln aircraft carrier. Additionally, a U.S.-flagged vessel evaded an attempt by Iranian armed boats to force it to stop. Two foreign exchange strategists from OCBC Bank noted in a research report that the structural support for precious metals remains strong. Geopolitical risks, increasing debt burdens, and uncertainty in U.S. policy continue to drive the demand for diversified investment portfolios.