Gold consolidates near record highs

Gold Consolidates Near Record Highs Amid Mixed Macro and Geopolitical Signals

Today’s markets analysis on behalf of Daniel Takieddine Co-founder and CEO, Sky Links Capital Group ‘

Gold traded in a range near the 4,600 level on Friday, with investors adopting a cautious stance amid positive economic signals and more stable geopolitical risks. Even so, bullion is on track to close a second consecutive week with solid gains.

Following the release of stronger-than-expected US initial jobless claims on Thursday, gold faced some near-term pressure. The data offered some reassurance on employment conditions. They reinforced expectations that the Federal Reserve may remain cautious in the near term. Still, two interest rate cuts are expected by the end of the year, keeping the medium-term backdrop supportive for non-yielding assets such as gold.

Geopolitically, a more measured tone from Donald Trump has eased immediate fears of escalation in the Middle East, weighing on safe-haven demand. However, tensions in Eastern Europe and Latin America persist, while concerns around the future of Greenland could support safe-haven demand.

At the same time, gold ETF inflows slowed last week to 9.7 tonnes. On the bright side, flows remained positive across all regions. Looking ahead, attention will turn to geopolitical headlines as well as next week’s US Q3 2025 GDP and PCE inflation data.

Zaid Barem / ymm