|

Gold: New record highs – Commerzbank

Following the slump at the beginning of the week, the price of Gold has risen again to almost $2,430 per troy ounce, Commerzbank’s commodity strategist Barbara Lambrecht notes.

Gold is set to remain in demand

“The Gold price was unable to benefit from the turbulence at the start of the week. On the contrary, the Gold price was even caught up in a downward pull at the beginning of the week. It moved well away from its record high and temporarily fell back below the $2,400 per troy ounce mark despite increased rate cut hopes.”

“However, as always, it is all a matter of perspective: looking at the development since the beginning of July, Gold can certainly be labeled a ‘safe haven’. Gold has risen slightly and, on the way, reached a new record high. We assume that Gold will remain in demand against the backdrop of the Middle East tensions and hence the price will remain well supported.”

“The upcoming CFTC data should also be interesting for Gold. After all, the Gold price also fell sharply at the beginning of the week, which could have been accompanied by a reduction in speculative long positions. This would support the idea that Gold was affected by forced selling in order to generate liquidity to offset losses in other investments and to fulfill margin calls.”

Author

FXStreet Insights Team

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

More from FXStreet Insights Team
Share:

Editor's Picks

GBP/USD extends the drop to 1.3360

GBP/USD builds on Monday’s decline and briefly clinches five-day lows near 1.3360 on Tuesday. Cable’s extra pullback follows the better tone in the Greenback as uncertainty in the Middle East prompts investors to adopt a cautious stance. Meanwhile, an apathetic UK labour market report also collaborates with the selling pressure on the British Pound.

EUR/USD stays offered just above 1.1400

EUR/USD keeps the downtrend well in place for yet another day, challenging the 1.1400 contention zone on Tuesday. The continuation of the selling impulse in spot comes amid decent gains in the US Dollar, which continues to find support in the persistent effervescence surrounding the US-Iran crisis.

Middle East crisis intensifies, Gold up

Gold now seems to have embarked on a consolidative phase below the key $4,100 mark per troy ounce in the latter part of Tuesday’s session. Meanwhile, uncertainty surrounding the Middle East conflict and rising expectations for a hawkish Fed policy outlook are expected to limit the precious metal’s bullish momentum in the near term.

XRP rebounds on rising on-chain activity
Ripple (XRP) ticks up and trades around $1.13 at the time of writing on Tuesday. This rebound aligns with a broader recovery in the cryptocurrency market, attributed to reports that mediators between the United States (US) and Iran are seeking a 10-day cessation of strikes to find a way back to the signed Memorandum of Understanding (MoU).
The Iranian war has again risen
The Iranian war has again risen to the top of the economics factor list. There is no end in sight. Intelligence experts say the current level of offense/retaliation will not change minds in Tehran, while in Washington, Trump fears all-out war, which would mean boots on the ground.
US Dollar mid-year outlook: Exceptional currency, exceptional risks?
The US Dollar enters the second half of 2026 in a markedly different position from a year ago. The King currency has recovered, reflecting persistent US inflation, changing expectations for Fed policy, geopolitical tensions and renewed demand for defensive assets.