Gold prices in the Philippines rose on Friday, based on FXStreet data. Gold was priced at PHP 9,306.92 per gram, up from PHP 9,160.19 on Thursday.
Gold rose to PHP 108,554.30 per tola from PHP 106,842.70 a day earlier. Other listed prices were PHP 93,069.37 for 10 grams and PHP 289,476.60 per troy ounce.
How FXStreet Converts Global Gold Prices
FXStreet converts global gold prices into Philippine pesos using the USD/PHP exchange rate and local measurement units. Prices are updated daily using market rates at the time of publication, but local rates may vary slightly.
Central banks are the biggest holders of gold and keep it as part of their reserves. They bought 1,136 tonnes worth about $70 billion in 2022, according to the World Gold Council. This was the largest annual purchase since record-keeping began.
Gold often moves in the opposite direction of the US Dollar and US Treasuries. It can also move against risk assets. Key drivers include geopolitical tension, recession worries, and interest rates. Many moves are tied to changes in the US Dollar because gold is priced in dollars (XAU/USD).
Gold prices are rising not only in Philippine pesos, but also worldwide. This suggests the move is not just a local currency effect. Instead, it points to stronger demand for gold. Derivatives traders may see this as a sign that market conditions are turning more supportive for gold.
Key Market Forces Supporting Gold
In 2025, central banks continued to buy large amounts of gold, building on the record purchases in earlier years. For example, central banks added more than 1,037 tonnes in 2024, the second-highest year on record. That strong demand continued through last year. This steady buying helps create a solid floor under prices.
Right now, the US Dollar Index (DXY) has weakened, falling below 102 after peaking in late 2025. A softer dollar is usually positive for gold. The move is linked to recent Federal Reserve comments that suggest a pause—or even a shift—in interest rates as economic data slows. Because gold does not pay interest, it tends to look more attractive when rate expectations drop.
Inflation, while easing, remained an issue through 2025. It is still a concern for many investors. With US inflation in January 2026 at a stubborn 3.1%, more market participants are using gold as a hedge against declining purchasing power. This supports gold’s long-standing role as a store of value.
With these factors in mind, traders may want to plan for more upside in the weeks ahead. Bullish approaches—such as buying call options on major gold ETFs or using futures—can be one way to benefit if prices keep rising. Higher volatility can also push option premiums up, which may create opportunities for traders who manage risk well.
Gold’s negative relationship with risk assets has also become stronger. After a strong run in 2025, equity markets are showing signs of anxiety. If stocks fall, investors may move into safe-haven assets, which can lift gold prices further. This can make gold a useful hedge in a broader derivatives portfolio.
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