Gold Price News: Market caught between Assad's fall, VW strikes and a strong US dollar

Today, the gold price is unchanged at USD 2658 per troy ounce, continuing the sideways movement that has been ongoing for days. This stability is the result of a wait-and-see market sentiment in which there are no significant impulses that could drive the price in a clear direction.

Geopolitical tensions, such as the current fall of the Assad regime in Syria, have so far had no significant impact on the gold price. For the time being, the market seems to be observing these developments without any immediate reaction, while investors continue to focus on possible new macroeconomic signals or monetary policy decisions. The stability of the US dollar and the lack of relevant economic data underline the ongoing calm in the market, with investors awaiting further clarity before building up new positions.

Yesterday, the Assad regime was toppled after ruling Syria for almost 25 years. Rebel forces led by Hayat Tahrir al-Sham took control of Damascus, marking the end of Bashar al-Assad's long-standing rule. The fall of the regime was the result of coordinated offensives, which have increased in intensity in recent weeks. Strategically important cities such as Aleppo and Homs fell within a short space of time, significantly weakening the regime's military position.

Dwindling support from allies such as Russia and Iran also contributed significantly to Assad's loss of power. While Russia was tied down by its own challenges in Ukraine, Iran was confronted with internal protests that made further support for Syria difficult. At the same time, economic crises, including high inflation and growing dissatisfaction among the population, led to increased pressure on the government.

After the capture of Damascus, thousands of Syrians celebrated the end of Assad's rule in the streets. The presidential palace was looted and symbols of the old regime were destroyed. According to several reports, Assad and his family fled to Moscow, where Russia granted them asylum. The international community showed mixed reactions: While Western nations welcomed the potential for political change, observers expressed concerns about possible power struggles within the rebel alliance and the role of extremist groups in a future political process.

The situation in Syria remains volatile. The rebel alliance has announced that it will form a transitional government and hold democratic elections. But the path to stability and peace is uncertain. The coming weeks will be crucial to see whether Syria manages a successful transition or new conflicts arise. 

Today, thousands of Volkswagen (VW) employees once again walked off the job as collective bargaining between the company and the IG Metall trade union continued to fail to produce a result. The union is demanding a significant wage increase of 8.5% to compensate for the rising cost of living, while VW has so far only offered 5%. In addition, there are demands for better regulations for working hours and more flexible home office options, which are further hardening the positions of both sides.

The warning strikes particularly affect the plants in Wolfsburg, Zwickau and Emden, where production has been completely shut down in some cases. IG Metall has stated that the strikes could be extended if no progress is made in the negotiations. This puts pressure on the Group, which is already struggling with supply chain problems and a tense sales situation in important markets such as China and Europe.

These strikes have far-reaching consequences for the German automotive industry, which is considered the backbone of the economy. Production stoppages could not only impact VW's sales, but also affect suppliers throughout the supply chain. The economic uncertainty in Europe, coupled with the current work stoppages, could also depress market sentiment.

The next round of negotiations is scheduled for December 12, 2024. However, further disruptions to production operations are to be expected until then if no progress is made in the short term.

The gold price remains stable today at USD 2,658 per troy ounce and continues to show a clear sideways movement. On the technical side, the gold price is moving within a narrow trading range of USD 2,650 to USD 2,670, which indicates a phase of consolidation. This sideways movement is typical for markets that are waiting for clear fundamental or geopolitical impulses.

The Relative Strength Index (RSI) is just above the neutral mark of 50, which signals a balanced market situation. Neither buyers nor sellers are currently dominating the market. At the same time, the Moving Average Convergence Divergence (MACD) remains close to the zero line, indicating a lack of momentum. These indicators confirm the current wait-and-see attitude of market participants.

On the support side, there is a strong mark at USD 2,650, which has been tested several times in recent days but not breached. Should this support level fall, the gold price could drop towards the next psychological level of USD 2,620. On the upside, resistance at USD 2,670 remains crucial. A break above this level could drive the price towards USD 2,700 in the short term.

The current technical situation suggests that major price movements are unlikely until there is a clear change in fundamental data or geopolitical developments.

The gold market is currently showing unusual stability, although significant geopolitical events such as the situation in the Middle East, Ukraine and the fall of the Assad regime in Syria are increasing global uncertainty. Normally, such developments lead to an increase in the price of gold, as investors tend to invest more in safe investments in times of crisis. However, this effect is currently being offset by the strength of the US dollar.

The recent re-election of Donald Trump as US president has driven the dollar to an eight-year high. A stronger US dollar makes gold more expensive for buyers outside the US, which dampens demand and puts pressure on the price. Trump's various economic policy announcements have also influenced the financial markets.

In addition, the People's Bank of China resumed its gold purchases in November after a six-month break, which is supporting demand for the precious metal. Nevertheless, the gold price remains in a sideways movement due to the opposing influences of geopolitical tensions and a strong US dollar.

Investors are keeping a close eye on developments, as both further geopolitical escalations and changes in US economic policy could influence the gold market in the coming weeks.