US Stock Futures Rise as US-Iran Ceasefire Hopes Boost Market Sentiment 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
Trump Threatens 100% Tariffs on Countries Imposing Digital Services Taxes on U.S. Tech Firms 
Asian Stocks Sink as Apple Price Hikes Spark AI Valuation Fears, South Korea and Japan Lead Selloff 
S&P Affirms Brazil’s BB Credit Rating with Stable Outlook Amid Fiscal Challenges 
Canada Grants C$7 Million to Greenland Molybdenum Mine to Strengthen Critical Minerals Supply 
Japan Targets 1%+ Real Economic Growth With ¥370 Trillion Investment Plan 
Oil Prices Rise as US-Iran Tensions Threaten Strait of Hormuz Oil Shipments 
Gold Price Ends Lower for Fourth Week Despite Rebound as Fed Rate Hike Bets Strengthen 
World Bank Approves $1.1 Billion Emergency Funding for Bangladesh Amid Food and Energy Price Pressures 
Asian Currencies Stay Range-Bound as Investors Eye China Data, RBNZ Outlook and U.S.-Iran Ceasefire 
China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
Gold Price Falls as Fed Rate Hike Fears and U.S.-Iran Tensions Weigh on Bullion 
Record Gold Prices Driven by Safe Haven Demand
Gold prices surged to $2,705.26 per ounce in Asian trading on Friday, benefiting from increased safe-haven demand as the highly contested U.S. presidential election approaches. Spot gold rose by 0.4%, while December futures increased by 0.5%, reaching $2,720.15 an ounce.
U.S. Election Dynamics Impacting Gold
As the election draws near, polls indicate a tight race between Vice President Kamala Harris and former President Donald Trump. This electoral uncertainty has prompted investors to flock to gold as a safe asset. Recent surveys suggest Harris holds a slight lead, yet prediction markets favor a Trump victory, escalating anxiety over the election's outcome.
ECB Rate Cut Supports Gold Prices
Gold's ascent is also attributed to a 25 basis point rate cut by the European Central Bank (ECB). This monetary easing signals that global central banks remain in a rate-cutting mode, likely boosting demand for non-yielding assets like gold.
Despite a stronger U.S. dollar, which reached a two-and-a-half-month high, gold maintained its value. Strong retail sales and job data suggest that the Federal Reserve may slow its rate cuts. As tensions in the Middle East rise, with Israel preparing for retaliation against Iran, safe-haven demand for gold remains robust.
Conclusion
The combination of U.S. election uncertainty, ECB monetary policy shifts, and geopolitical tensions continues to drive gold prices to record highs, showcasing the metal's role as a hedge against market volatility.
