Gold Price News: Stability at USD 2,607 despite political and military developments

The gold price remained stable today at around USD 2,607 per troy ounce, underlining the resilience of the precious metal in the face of geopolitical tensions. Investors are hesitant to take larger positions as the implications of recent developments – from political changes in the US to the escalation of the Ukraine conflict – are still unclear. This wait-and-see attitude reflects the uncertainty that is currently characterizing markets. At the same time, gold remains a sought-after asset and is holding its own against fluctuations in other markets.

The US decision to provide Ukraine with long-range missiles marks a significant turning point. The release of ATACMS missiles will enable Ukrainian forces to target strategically important targets in Russia. However, this development could further intensify the conflict. The Kremlin described the measure as a new escalation and threatened retaliation. Within NATO, pressure is growing on allies like Germany to consider more extensive arms deliveries.

Russia has massively intensified its attacks on Ukraine, including targeted attacks on critical energy infrastructure. The cities of Kiev, Odessa and Sumy have been particularly affected. At least 15 deaths and severe destruction have been reported. According to the Ministry of Energy, about 50 percent of Ukraine's energy supply has already been destroyed. The humanitarian consequences of the attacks are a cause for concern internationally, especially in view of the approaching winter.

Positive economic data from the US is putting more pressure on the gold price. With an increase in retail sales and a moderate drop in inflation, the US dollar remains strong. This makes gold more expensive for investors in other currencies and dampens demand. In addition, representatives of the Federal Reserve are signaling a continued restrictive course, which makes non-interest-bearing investments such as gold less attractive.

The gold price remains stable above the support at USD 2,600. If this level is breached, it could fall to USD 2,580. On the upside, the area around USD 2,620 remains a resistance level that could trigger new buying. Technical indicators such as the RSI suggest that the market has room to move in both directions.

The coming days are likely to be dominated by geopolitical developments and monetary policy signals. The escalation in the Ukraine conflict and tensions in the Middle East could support gold as a safe haven investment. At the same time, investors will be looking to the speeches of high-ranking representatives of the Federal Reserve, who could provide clues as to future interest rate decisions. A strong dollar and restrictive monetary policy could weigh on the gold price, while an easing of monetary policy could boost the precious metal. Investors should therefore expect high volatility.