NextFin news, On Friday, September 12, 2025, global gold prices experienced a notable surge, reaching critical resistance levels as investors positioned themselves ahead of the Federal Reserve's scheduled interest rate announcement. This price movement occurred in major financial centers including New York and London, where gold trading is most active.
The rally in gold prices was influenced by a combination of factors including weaker-than-expected U.S. economic data, which raised market expectations for a potential rate cut by the Federal Reserve. Additionally, ongoing geopolitical tensions contributed to increased demand for gold as a safe-haven asset.
According to market reports, gold prices climbed to over $3,654 per ounce on international markets, nearing record highs and marking a fourth consecutive weekly gain. In India, gold prices also hit record levels on the same day, with 24-carat gold reaching Rs 111,280 per 10 grams, reflecting strong local demand amid the approaching festive season.
Technical analysts noted that gold is currently trading near its all-time highs, with momentum indicators such as ADX, MACD, and RSI signaling overbought conditions. Immediate support for gold prices was identified around Rs 108,560, while resistance was seen between Rs 109,840 and Rs 110,500 in the Indian market.
Market experts highlighted that the Federal Reserve's decision on interest rates, expected later this week, will be a key determinant for gold's near-term trajectory. A rate cut could further bolster gold prices by weakening the U.S. dollar and increasing the metal's appeal as a non-yielding asset.
Gold's price movements on Friday were also supported by increased buying in precious metal ETFs, which reached a two-year high in holdings, signaling strong institutional interest. Silver prices similarly rose, with spot silver expected to test higher levels as long as it remains above key support marks.
Overall, the surge in gold prices on Friday, September 12, 2025, reflects a market balancing act between economic uncertainty, central bank policy expectations, and geopolitical risks, all converging to drive demand for the precious metal.
Sources: Goodreturns.in, Beritasriwijaya.co.id, Times of India, ICICI Direct, September 12, 2025.
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