Gold is poised for an eighth consecutive weekly gain, trading around $2,927 per ounce as investors seek safety and exchange-traded funds (ETFs) continue to build positions.
At roughly $2,927 an ounce, the metal has been supported by several positive factors. ETF inflows topped 16 tonnes this week, the largest weekly increase since 2023, reflecting renewed investor interest and adding tangible support to prices.
Geopolitical tensions have been a key driver of demand. Market participants cited uncertainty over a potential meeting between President Trump and Russian President Vladimir Putin about Ukraine, a development that could unsettle European alliances and increase risk aversion. Such uncertainties typically boost demand for safe-haven assets like gold.
Gold has already gained about 27% in 2024, and its attractiveness has been amplified by a softer US dollar, which makes dollar-priced commodities cheaper for holders of other currencies. Additionally, analyst optimism has reinforced the market’s momentum—Goldman Sachs recently raised its year-end price target for gold to $3,100 per ounce, signaling confidence among major financial institutions.
These combined forces—robust ETF inflows, geopolitical uncertainty, a weaker dollar, and bullish analyst forecasts—are sustaining gold’s upward trajectory as investors position for continued market volatility and safe-haven demand.