Gold Rates

Iran War: How far will the price of gold go?

Published by
Abdul khalique

KARACHI: Despite the ongoing war against Iran and increasing tensions in the Middle East, gold prices have not increased significantly in the global market.

Economists say that there are several reasons behind this unusual situation. They said that the strength of the US dollar, the already high price of gold, high volatility in the market and a possible increase in interest rates are hindering the increase in the price of gold.

According to analysts, a major change in the price of gold can occur in two basic situations. If the US Federal Reserve gives a clear signal of a reduction in interest rates or if the Iran war prolongs and global economic risks increase further, then the price of gold is possible to increase.

At present, investors in the global market are adopting a cautious attitude. Investors are turning to other safe assets instead of gold in view of the risks and uncertainty.

Abdul khalique

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