Gold Price News: USD 2,619 – Markets and geopolitics end the year on a stable note

On the last trading day of the year, the gold price stood at USD 2,619 per troy ounce, thus stabilizing after the slight losses of the previous week. The precious metal remains a stable anchor for investors seeking to hedge against geopolitical and economic uncertainties.

However, market sentiment remains subdued: according to the Commitments of Traders report published by the US regulatory authority CFTC, sentiment among major futures speculators deteriorated for the second week in a row. Net long positions fell by 5.5% to their lowest level in five weeks. By contrast, small speculators appeared more optimistic, increasing their net long positions by 10.8%.

Despite the uncertainties, gold has had a remarkable year-to-date performance, rising over 2%, the most since 2010. Analysts are watching developments in the new year closely, as US President-elect Donald Trump's political and economic actions could potentially have a major impact on markets.

In the wake of the mass protests in Georgia, the German government has imposed entry bans on nine high-ranking representatives of the country. This measure is directed against those responsible for the violent crackdown on demonstrators and members of the opposition, as the German Foreign Office explained on Tuesday.
Germany, France and Poland – members of the so-called Weimar Triangle – strongly condemned the violence in Georgia and announced that they would suspend visa-free travel for Georgian officials. At the same time, the Georgian government was called upon to respect human rights and democratic principles.
The political crisis in Georgia remains an issue of international concern that could also affect economic cooperation with the EU. Analysts see the situation as a risk to regional stability that could have an indirect impact on global markets.

Finnish police are investigating seven sailors from the Russian tanker “Eagle S” suspected of damaging an undersea cable between Finland and Estonia. The incident occurred on Christmas Day when the Estlink 2 cable was damaged by the ship's anchor.

The tanker, which belongs to the so-called Russian shadow fleet, was stopped and escorted to Finnish waters. Investigators found drag marks on the seabed, which confirmed suspicions of targeted sabotage. Experts see such incidents as hybrid attacks designed to destabilize the infrastructure of Western countries. The situation is intensifying geopolitical tensions in the Baltic Sea and highlighting the potential vulnerability of critical infrastructure.

Russia and Ukraine carried out a prisoner exchange before the turn of the year, releasing 150 people each. The exchange was organized with the mediation of the United Arab Emirates.

According to President Volodymyr Zelenskyi, Ukraine received 189 people back, including soldiers and civilians from Mariupol. Russia announced that the released soldiers would spend the New Year in their homeland.

This exchange marks a symbolic step in the midst of the ongoing conflict and shows the efforts of both sides to find humanitarian solutions, even if the war continues unabated.

Germany has announced that it will support Syria with 60 million euros after the change of power, in order to promote the country's fresh start. The money will be used for projects that promote the stabilization and reconstruction of the country. The decision is considered risky as the political and economic situation in Syria remains unclear. Nevertheless, the German Foreign Ministry does not want to miss the chance to make a positive contribution to the country's reconstruction.

The gold price is closing the year just above the USD 2,600 mark and is showing continued stability. Support at USD 2,590 remains intact, while the next resistance level is at USD 2,630.

The Relative Strength Index (RSI) is hovering around 52, indicating a neutral market condition. The Moving Average Convergence Divergence (MACD) signals a slight recovery. Trading volume remains low, which is typical for the end of the year.
Analysts expect the gold price to be influenced by geopolitical developments and the Fed's monetary policy decisions in the first few weeks of the new year.

As the year draws to a close, the focus is on 2025, which will continue to be characterized by geopolitical tensions, economic policy changes and monetary policy decisions. The inauguration of the new US President Donald Trump and developments in the Middle East and Ukraine will have a strong influence on the gold market.