22/02/2026
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22/02/2026
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Gold prices climbed to $3,371 an ounce, supported by expectations of a US interest rate cut and rising geopolitical tensions.
KUWAIT CITY, Feb 22: Gold prices closed last week sharply higher, climbing above USD 5,100 per ounce to settle near USD 5,107, posting daily gains of more than 1.5 percent amid heightened global market uncertainty.
In a report released Sunday, Kuwait’s Dar Al-Sabaik said the rally was fueled by major legal, political, and economic developments in the United States. Chief among them was a US Supreme Court ruling overturning reciprocal tariffs imposed by President Donald Trump under national emergency legislation.
Markets initially showed improved risk appetite, but sentiment quickly shifted after Trump signaled plans to introduce a new 10 percent global tariff in addition to existing national security-related duties. The move reignited fears of renewed global trade tensions, prompting investors to seek safe-haven assets. Economic data further supported gold’s advance. Final US GDP figures showed growth slowing to 1.4 percent in the fourth quarter of 2025, while the core Personal Consumption Expenditures (PCE) index — the Federal Reserve’s preferred inflation measure — rose above 3 percent. The combination of moderating growth and persistent inflation revived concerns over possible stagflation.
Despite a rise in 10-year US Treasury yields to around 4 percent, gold maintained upward momentum, supported by expectations of two potential interest rate cuts this year and a weaker US dollar index hovering near 97.70. Geopolitical tensions in the Middle East also continued to underpin demand.
Ongoing discussions in Washington regarding policy options toward Iran — ranging from diplomacy to limited military action — have heightened market sensitivity and reinforced gold’s appeal as a hedge. Technically, the outlook turned positive after prices reclaimed the $5,000 psychological support level. Sustained trading above $5,100 could pave the way toward testing $5,200, followed by the January 30 peak of $5,451 and the record high near $5,598 per ounce.
Conversely, a drop below $5,000 may lead to a retest of $4,841 and the 50- day moving average around $4,681. Locally, the global rally was mirrored in Kuwait. The price of 24-karat gold reached approximately KD 50.690 per gram (about $155), while 22-karat gold stood at KD 46.470 per gram (around $142). Silver stabilized at KD 936 per kilogram (roughly $3,050), amid sustained local demand for precious metals for savings and investment purposes. The ounce, also known as the troy ounce in precious metals markets, equals 31.103 grams.(KUNA)
