20241125 TA Global uncertainties and gold prices img

Physical demand from countries such as India and China, and buying by central banks, is expected to keep gold prices firm. (Nikkei montage/Source photos by Reuters and AP)

Asian buyers, central banks likely to support gold prices amid slump

Trump policies seen as X factor that could set trend for precious metal

TOKYO -- Gold prices are widely expected to rebound next year, according to market analysts, as the precious metal remains attractive as a safe-haven asset, with prices likely to be supported by persistent demand from Asian consumers and central banks.

But President-elect Donald Trump's return to the White House will be a source of volatility for gold, the price which has been rising for the past couple of years, lifted by demand for the metal as a hedge against inflation. Geopolitical uncertainties such as the Israeli-Hamas conflict and Russia's invasion of Ukraine have also contributed to the commodity's rising prices.

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