economy
Why Gold Hasn’t Moved Since the Iran Conflict
Though the war in Iran has continued for almost two weeks, the price of the yellow metal has barely moved.
TL;DR
- Gold's price has remained largely static despite the ongoing conflict, unlike its previous surge during a war last year.
- A stronger dollar, higher Treasury yields, and institutional investors' concerns about gold's volatility are cited as reasons for the lack of price movement.
- Panic selling and liquidity crunches can also cause gold to sell off initially during conflicts before recovering.
- Despite short-term volatility, major banks like J.P. Morgan and Deutsche Bank have bullish forecasts for gold prices by the end of 2026.