Tensions in the Middle East send oil soaring, gold plummets

The military activity in the Middle East and rising geopolitical risks continue to have serious repercussions on the global economy. Following operations by the US and Israel targeting Iran, energy corridors have begun to be viewed as under threat. On the final trading day of the week, investors felt the pressure of potential new developments on the markets.

SHARP RISE IN OIL PRICES

The greatest impact was observed in crude oil prices. Security concerns around the Strait of Hormuz have increased the fragility of energy supply. As a result, Brent crude climbed back above the critical 100-dollar level, rising to 103.88 dollars. West Texas Intermediate (WTI) oil, meanwhile, attempted to stabilize around 99.30 dollars per barrel.

GOLD WEAKENS IN ITS ROLE AS A SAFE HAVEN

In contrast, the movement in gold, known as a safe haven, developed unexpectedly. Gold, which is generally expected to hit record highs during periods of conflict and crisis, ended the week with a downward trend this time. Notably, the downward movement of gold prices at the close of the week did not go unnoticed.

LATEST STATUS OF OUNCE AND GRAM GOLD

Internationally, ounce gold followed a course close to the 5 thousand dollar level, which is considered a psychological threshold, closing the week at 5 thousand 20 dollars. Domestically, gram gold was traded at the 7 thousand 130 lira level at the end of the week for investors.

News Source: 12punto