Gold prices edged higher on Monday as investors sought refuge in the precious metal amid growing concerns about global economic growth and geopolitical instability. The rise reflects a broader trend of investors reducing their exposure to riskier assets.

Factors Driving Gold’s Appeal

• Economic Uncertainty: Concerns about a potential slowdown in global economic growth are prompting investors to seek safer investments.
• Geopolitical Tensions: Ongoing geopolitical tensions in various regions are further fueling demand for gold as a safe haven.
• Dollar Weakness: A slightly weaker US dollar also contributed to the rise in gold prices, as it makes the metal more affordable for investors holding other currencies.

Analyst Commentary

Analysts note that gold’s performance is closely tied to investor sentiment and macroeconomic conditions. Continued uncertainty and volatility in the markets are expected to support gold prices in the near term.

However, a significant improvement in economic data or a resolution of geopolitical tensions could lead to a decline in gold prices.