Gold Prices Rise Amid Market Anticipation of Central Bankers’ Policy Statements

Gold prices rose in local markets on Tuesday, in tandem with a strong rally in global spot prices, as markets await key policy signals from central bankers participating in the European Central Bank's (ECB) annual forum in Portugal.

Locally, gold gained EGP 40 compared to Monday’s closing, with 21-karat gold reaching EGP 4,660 per gram. Meanwhile, global spot gold rose by $42, hitting $3,350 per ounce.

24-karat gold: EGP 5,326

18-karat gold: EGP 3,994

14-karat gold: EGP 3,107

Gold pound (8g of 21-karat): EGP 37,280

On Monday, prices had already edged up EGP 10, with 21-karat gold opening at EGP 4,610 and closing at EGP 4,620. Globally, gold opened at $3,274/oz and closed at $3,308, a daily increase of $34.

This dual upward movement in both local and global markets comes as investors shift focus to the ECB forum, where central bank leaders are expected to offer insights into the future of global monetary policy.

Key Speakers at the Forum:

Christine Lagarde, President of the ECB

Kazuo Ueda, Governor of the Bank of Japan

Andrew Bailey, Governor of the Bank of England

Jerome Powell, Chair of the U.S. Federal Reserve

This annual meeting is seen as a major opportunity for markets to decode policy intentions—especially at a time when central banks are walking a tightrope between containing inflation and maintaining economic growth.

These forums often either project a unified message among central banks or highlight policy divergences, influencing the movement of major assets like gold, currencies, and bonds.

Focus on Powell's Speech Amid U.S. Political Turmoil

Markets are especially tuned in to Jerome Powell’s remarks, as former President Donald Trump escalated his criticism of Powell on Monday, intensifying concerns about the Federal Reserve’s independence. Trump’s public attacks have fueled speculation about a potential change in Powell’s tone—or even a move to replace him—which in turn boosted gold’s appeal as a safe-haven asset amid heightened political uncertainty and a weakening dollar.

Key U.S. Economic Data Ahead

The U.S. private sector jobs report is due on Wednesday and is viewed as a leading indicator for the official employment report. On Thursday, markets will receive:

Non-Farm Payrolls (NFP)

Weekly jobless claims

Services PMI

Outlook: Gold Seen as Safe Haven Amid Uncertainty

In this climate of political instability, divergent monetary expectations, and mounting financial anxieties, gold continues to stand out as the safest option for investors. Many analysts now believe that gold may be on the verge of a technical breakout, potentially supporting further upside momentum in the near term.