a day ago
Gold In Kuwait Soars To KD 33
KUWAIT CITY, July 13 : Precious metal prices in the local Kuwaiti market responded strongly to global developments last week, as demand surged amid rising geopolitical and economic uncertainty. The price of 24-karat gold reached approximately KD 33 per gram, while 22-karat gold stood at around KD 30.27 per gram. Silver also saw a notable uptick, with the price of one kilogram hitting KD 421. This local surge mirrored global trends, where gold prices recorded a significant rise, closing at $3,356 per ounce by the end of last week's trading. The increase was largely driven by escalating U.S. trade tensions and heightened geopolitical risks, reinforcing gold's status as a safe-haven asset.
According to a report released Sunday by Kuwait's Dar Al-Sabeek company, U.S. President Donald Trump's decision to announce a 35 percent tariff on Canadian imports, set to take effect in early August, along with potential tariffs of 15 percent to 20 percent on other major trade partners, contributed to growing market uncertainty. As a result, investors turned to precious metals for protection. The report also highlighted President Trump's call for a 300-basis-point interest rate cut, which has raised expectations of appointing a more dovish Federal Reserve chair to replace Jerome Powell. Such a move could increase inflationary pressures and enhance gold's appeal as a hedge.
Despite a fourth straight week of declining U.S. jobless claims, attention is now focused on upcoming inflation data due this Thursday. Forecasts suggest a year-on-year rise in the Consumer Price Index (CPI) to 2.6 percent for June, which may further drive investors toward gold as a store of value. Gold traded last week within a support range between $3,300 and $3,332 per ounce, with resistance levels noted at $3,376 and $3,400. This positioning gives gold buyers a clear technical advantage and strengthens the likelihood of a continued medium-term upward trend. Silver also witnessed impressive gains, rising three percent both on a daily and weekly basis to reach its highest level in 13 years at $38.30 per ounce.
The report noted that silver broke through its previous technical resistance at $37 per ounce, signaling strong short-term buyer control and sustained momentum within a solid upward trend. On the geopolitical front, the report highlighted escalating tensions in the Middle East and Red Sea, particularly due to repeated attacks on commercial vessels. These developments have led investors to seek refuge in safe assets like gold and silver, reinforcing their roles as primary hedging tools during global crises. (KUNA)
