Gold prices from FXStreet are set by adjusting global rates to local units and the PHP exchange rate. These prices are updated daily, but local rates can change slightly depending on publication timing and market shifts.

Uses of Gold and Central Bank Holdings

Gold is valued for its functions as a store of value, medium of exchange, inflation hedge, and safe-haven asset. Central banks, especially in emerging markets, hold the most gold, adding 1,136 tonnes to their reserves in 2022. Gold often moves opposite the US Dollar and risk assets; it tends to rise during market uncertainty or when currencies depreciate. Prices are affected by geopolitical events, interest rates, and the strength of the US Dollar. As of October 22, 2025, gold prices are stable, seen as a consolidation before potential changes. The market is processing mixed signals from slowing global growth and ongoing inflation. Traders should keep an eye on central bank announcements for any shifts in interest rate policies. Recent US inflation data from September 2025 was slightly higher than expected, enhancing gold’s appeal as a safeguard against inflation. This challenges the Federal Reserve’s narrative and creates uncertainty about interest rates in 2026, which generally favors gold. The metal thrives when monetary policy is unpredictable.

Central Bank Demand and Market Forecast

There is strong ongoing demand from central banks, a trend that picked up in 2022 and continues. Data from the World Gold Council’s third quarter of 2025 shows that central banks in emerging markets are still boosting their reserves. This steady buying creates a solid price floor, which limits potential losses for traders. The US Dollar Index has recently weakened, pulling back from earlier highs. A weaker dollar boosts gold prices, making it cheaper for buyers using other currencies. This relationship is important for our short-term outlook. With this environment, we see the current price stability as a chance to prepare for future volatility. Implied volatility for gold options is relatively low. This suggests that buying long-term call options or setting up call spreads could be a smart, cost-effective strategy. It allows participation in potential price increases while controlling maximum risk. Create your live VT Markets account and start trading now.

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