Lagos — Gold prices eased slightly on Tuesday but remained within a range. Markets awaited further signals from the Federal Reserve as Fed Chair Jerome Powell and Governor Michelle Bowman are scheduled to speak later today. Although recent US data have been resilient, any dovish remarks could increase gold’s appeal.
Meanwhile, the European Central Bank is expected to hold rates steady later this week, pausing after a series of cuts. This could weigh on non-yielding assets like gold
At the same time, investors’ attention could increasingly turn to trade tensions and the fast-approaching August 1 tariff deadline, which could fuel demand for safe-haven assets. Global gold ETFs registered an inflow of 6.6 tonnes in the week ending July 18, an increase from the 1.4 tonnes added in the previous week.
Geopolitical risks remain a key tailwind. Russia launched a wave of drone and missile attacks across Ukraine ahead of renewed peace talks scheduled in Istanbul. In the Middle East, Israeli ground operations expanded into central Gaza, intensifying concerns of prolonged regional instability.
*Frank Walbaum Market Analyst at Naga
