Gold Weekly Forecast: Volatile Start to 2026 as Markets Assess US Data and Geopolitics

Gold (XAU/USD) showed a volatile start to 2026, recovering from a sharp loss at the end of the previous year. Initial gains were driven by normalizing trading conditions and safe-haven flows amid geopolitical news, specifically reports of the US military capturing Venezuelan President Nicolás Maduro. However, the rally stalled due to renewed US Dollar strength and margin hikes on Gold and Silver futures by the CME Group. Midweek, US economic data, including better-than-expected ADP payrolls and ISM Services PMI, suggested a Fed policy hold, causing gold to dip before consolidating. Concurrently, China announced export controls on Silver, causing XAG/USD to surge and the Gold/Silver ratio to hit its lowest level since 2013. Looking ahead, traders will focus on December US CPI data, where a significant surprise could impact the USD and gold prices. Geopolitical factors, including US President Donald Trump's comments on Greenland ownership and potential US military action in Iran, remain key drivers that could push gold higher as investors seek refuge.

(Source：BeInCrypto)