The gold price in Egypt stabilized today, Sunday, October 12, after a significant jump in previous sessions driven by rising global prices.

This stability comes amid market participants’ anticipation of market trends in the coming days, especially with ongoing fluctuations in the dollar exchange rates and global economic factors affecting gold movement.

Gold rose again after US President Donald Trump announced on Friday that there was no reason to meet Chinese President Xi Jinping in South Korea in two weeks as planned.

He added that the United States is considering a massive increase in tariffs on Chinese imports.

These statements by Trump caused a collapse in US stock indices before the weekly close, with the S&P 500 closing down by 2.7% and the Nasdaq technology stock index falling by 3.6%.

The renewed escalation of the trade war between the US and China is expected to weaken the US dollar, which dropped by 0.6% yesterday, benefiting gold which has an inverse relationship with the dollar. Additionally, demand for gold as a safe haven is increasing due to fears of negative impacts of the trade war on price levels and growth rates.

Markets are also closely monitoring risks related to the potential collapse of the French government, geopolitical tensions in Japan, and the ongoing US government shutdown. All these events support gold’s strong upward momentum and the possibility of reaching new historic levels.

Furthermore, investors expect the US Federal Reserve to cut interest rates by 25 basis points in both October and December, following its first rate cut decision this year in December.

Overall, there remain opportunities for short-term price declines considering the rapid rise in gold prices in recent weeks. However, over the next two years, gold prices are likely to rise sharply.