Gold briefly touched $4,600! Global markets rushed to seek safe havens as the US and Iran teetered on the brink of conflict.
2026-01-12 09:17:31
The recent escalation of tensions between the US and Iran has impacted global markets. On one hand, Iran is experiencing large-scale protests and instability due to its economic crisis; on the other hand, US President Trump has publicly threatened possible military intervention to support the protesters.
The sharp rise in geopolitical risks has directly stimulated demand for safe-haven assets, driving a strong surge in spot gold prices. On Monday (January 12th) during the Asian session, spot gold fluctuated upwards, continuing the gains of the previous two trading days, with a daily increase of approximately 1.7%. As of 9:10 AM, it briefly touched a record high of $4600.89 per ounce, and is currently trading around $4585 per ounce.
Multiple media outlets reported last Sunday that US President Trump is weighing options for action against Iran. Citing US officials, the report stated that the president has been briefed on potential action plans, including a possible military strike. According to media reports, Trump's aides will brief the president on related measures this Tuesday, including military, cyber, and economic measures, to carry out his threats.
In recent days, Trump has threatened to intervene in Iranian affairs and warned its leaders against using force against protesters. Last Saturday, the president stated that the United States is “ready to help.” The White House and the Department of Defense did not immediately respond.
Discussions of possible intervention arise as Iran's religious leadership faces its largest anti-government protests since 2022. More than 500 people have died in the third week of protests and the ongoing economic crisis, according to human rights organizations. The Iranian government has intensified its crackdown on protesters, reportedly including cutting off internet access.
Since the overthrow of the US-backed Shah by Ayatollah Khomeini in 1979, Iran has been an Islamic republic. His protégé, Ayatollah Ali Khamenei, now holds power. Iran has a population of 92 million and an inflation rate exceeding 50%, making it one of the countries with the highest inflation rates in the world.
Earlier last week, Trump threatened military intervention if Iran cracked down on protesters. Tehran warned on Sunday that Iran would retaliate against Israeli and U.S. military bases if the U.S. struck. Some members of both parties in U.S. lawmakers expressed skepticism about the prospect of possible intervention in Iran.
"I don't think it's the U.S. government's responsibility to interfere in all freedom movements around the world," Kentucky Republican Senator Rand Paul said on ABC News last Sunday. Paul believes that bombing Iran could unite its citizens in support of the government.
Virginia Democratic Senator Mark Warner, vice chairman of the Senate Intelligence Committee, said on the program that history shows the dangers of U.S. intervention in Iran. He pointed out that the U.S.-backed overthrow of the Iranian government in 1953 triggered a series of events that ultimately led to the rise of an Islamic regime in the country in the 1970s.
Others took a more hawkish stance, believing that U.S. action was in their best interest. South Carolina Republican Senator Lindsey Graham urged Trump on a program to "embolden the protesters and scare the regime." He said, "Mr. President, if I were you, I would kill those Iranian leaders who are abusing their people."
The Trump administration's threat to militarily intervene in Iran's internal turmoil directly ignited geopolitical risks, prompting safe-haven funds to flow into gold.
The severe turmoil in Iran and the intense policy debates within the United States have jointly prolonged the period of uncertainty, continuously injecting a volatility premium into gold prices. Although the situation may ease due to restrained actions by the United States, the risk of escalation in confrontation has become the core driving force dominating gold price trends in the short term.
(Spot gold hourly chart, source: EasyForex)
At 9:11 AM Beijing time, spot gold was trading at $4,585.31 per ounce.
The sharp rise in geopolitical risks has directly stimulated demand for safe-haven assets, driving a strong surge in spot gold prices. On Monday (January 12th) during the Asian session, spot gold fluctuated upwards, continuing the gains of the previous two trading days, with a daily increase of approximately 1.7%. As of 9:10 AM, it briefly touched a record high of $4600.89 per ounce, and is currently trading around $4585 per ounce.
Trump plans to take action against Iran, threatening to intervene in the protests.
Multiple media outlets reported last Sunday that US President Trump is weighing options for action against Iran. Citing US officials, the report stated that the president has been briefed on potential action plans, including a possible military strike. According to media reports, Trump's aides will brief the president on related measures this Tuesday, including military, cyber, and economic measures, to carry out his threats.
In recent days, Trump has threatened to intervene in Iranian affairs and warned its leaders against using force against protesters. Last Saturday, the president stated that the United States is “ready to help.” The White House and the Department of Defense did not immediately respond.
Discussions of possible intervention arise as Iran's religious leadership faces its largest anti-government protests since 2022. More than 500 people have died in the third week of protests and the ongoing economic crisis, according to human rights organizations. The Iranian government has intensified its crackdown on protesters, reportedly including cutting off internet access.
Iran faces a deep domestic crisis, while the US is embroiled in internal disputes.
Since the overthrow of the US-backed Shah by Ayatollah Khomeini in 1979, Iran has been an Islamic republic. His protégé, Ayatollah Ali Khamenei, now holds power. Iran has a population of 92 million and an inflation rate exceeding 50%, making it one of the countries with the highest inflation rates in the world.
Earlier last week, Trump threatened military intervention if Iran cracked down on protesters. Tehran warned on Sunday that Iran would retaliate against Israeli and U.S. military bases if the U.S. struck. Some members of both parties in U.S. lawmakers expressed skepticism about the prospect of possible intervention in Iran.
"I don't think it's the U.S. government's responsibility to interfere in all freedom movements around the world," Kentucky Republican Senator Rand Paul said on ABC News last Sunday. Paul believes that bombing Iran could unite its citizens in support of the government.
Virginia Democratic Senator Mark Warner, vice chairman of the Senate Intelligence Committee, said on the program that history shows the dangers of U.S. intervention in Iran. He pointed out that the U.S.-backed overthrow of the Iranian government in 1953 triggered a series of events that ultimately led to the rise of an Islamic regime in the country in the 1970s.
Others took a more hawkish stance, believing that U.S. action was in their best interest. South Carolina Republican Senator Lindsey Graham urged Trump on a program to "embolden the protesters and scare the regime." He said, "Mr. President, if I were you, I would kill those Iranian leaders who are abusing their people."
The current tensions between the US and Iran are providing clear support for gold.
The Trump administration's threat to militarily intervene in Iran's internal turmoil directly ignited geopolitical risks, prompting safe-haven funds to flow into gold.
The severe turmoil in Iran and the intense policy debates within the United States have jointly prolonged the period of uncertainty, continuously injecting a volatility premium into gold prices. Although the situation may ease due to restrained actions by the United States, the risk of escalation in confrontation has become the core driving force dominating gold price trends in the short term.
(Spot gold hourly chart, source: EasyForex)
At 9:11 AM Beijing time, spot gold was trading at $4,585.31 per ounce.
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