News Digest:

Gold hovered just below its all-time high as geopolitical risks, including concerns over a potential escalation of conflicts involving Israel and Iran, drove investors toward the safe-haven asset. In addition, uncertainty surrounding the tight U.S. presidential race has heightened market anxiety, further boosting gold demand.
The bullish sentiment has also spread to other precious metals, with silver approaching $35 per ounce—a level not seen since 2012.

The surge in gold prices has continued despite a recent selloff in U.S. government bonds. Normally, higher bond yields and tighter monetary policy weigh on gold, which offers no interest or yield. However, the safe-haven appeal of bullion has offset these pressures, with traders betting on a slower pace of rate cuts by the Federal Reserve.

Investor demand has further boosted the rally. Hedge funds have increased net-long positions in gold, signaling growing confidence in further gains. In addition, exchange-traded fund (ETF) holdings have seen inflows, reflecting sustained demand from institutional and retail investors alike.

With geopolitical risks and monetary policy shifts taking center stage, gold and silver may remain under upward pressure. However, any signs of easing tensions or clearer signals from the Fed could slow the rally. For now, the precious metals market appears poised for continued strength, with investors seeking protection from economic and geopolitical uncertainty.