Gold prices in the Philippines went up on Friday. According to FXStreet data, the price per gram reached 7,880.74 Philippine Pesos (PHP), an increase from PHP 7,821.48 on Thursday. The price per tola also rose to PHP 91,919.34, up from PHP 91,228.17. FXStreet converts international gold prices to local currency using current exchange rates. Prices can vary slightly each day. Gold is priced in different units, including grams, tolas, and troy ounces, with the current troy ounce price at 245,119.90 PHP.

Gold as a Store of Value

Gold has a long history as a store of value, especially during times of financial trouble. Central banks are major buyers of gold, having added 1,136 tonnes in 2022 to help stabilize their economies. This boosts resilience and confidence in a country’s financial stability. Gold’s value often moves in the opposite direction of assets like the US Dollar and US Treasuries. When the Dollar weakens, gold’s value usually rises. Geopolitical tensions and changes in interest rates also affect gold prices. A weaker US Dollar typically increases gold prices because gold is priced in USD (XAU/USD). As of November 28, 2025, the increase in gold to 7,880.74 PHP per gram reflects a weaker US dollar. This aligns with the usual trend of gold rising as the dollar falls, which has been happening for several weeks. This trend should be viewed as part of a larger pattern, not just a one-day change. Expectations in the market suggest a softer approach from the US Federal Reserve. Recent economic data from October 2025 indicates slower growth. Looking back at the 2023-2024 rate hike cycle, any hint of future rate cuts makes gold, which doesn’t yield interest, more appealing. This could mean that holding long positions in gold derivatives may be profitable.

Gold as a Hedge

Gold also serves as a hedge against currency depreciation and inflation. The Philippine Peso is currently weaker against the dollar compared to earlier this year, making gold a good buffer for local investments. The memory of high inflation over the past few years supports this perspective. Strong underlying demand for gold comes from central bank purchases. Recent data from the third quarter of 2025 shows that central banks, especially in emerging markets, added another 260 tonnes to their reserves. This consistent buying helps keep prices steady and lowers the chances of a major sell-off. Ongoing geopolitical tensions in various regions make gold an attractive safe-haven asset. Any sudden conflicts are likely to push investors out of stocks and into the safer option of gold. Therefore, using gold derivatives can be an effective way to protect against volatility in riskier investments. A simple strategy for the upcoming weeks is to buy call options on gold futures. This lets us take advantage of potential price increases while clearly defining our maximum risk to the premium we pay for those options. Create your live VT Markets account and start trading now.

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