On August 22, Korean time, international gold prices showed a sharp rise. Gold on the GC New York Mercantile Exchange recorded $4,680.60 per ounce, up $109.20 (2.39%) from the previous day. As international gold prices surged again, attention is focusing on domestic gold prices as well.

[Domestic Gold Prices on August 22: Rates by Institution]

On the same day, at the Korea Gold Exchange, pure gold of one don (3.75g) was priced at 899,000 won when buying and 751,000 won when selling. At Geumsise.com, one don of pure gold was 893,000 won when buying and 763,000 won when selling.

[Complex Variables Moving Gold Prices] The external environment surrounding gold prices remains complicated. Gold typically draws attention as a safe asset when uncertainty grows in financial markets or international affairs, but it also reacts sensitively to the value of the dollar, U.S. Treasury yields, international oil prices, and interest rate outlooks. Therefore, rather than interpreting the fluctuation factors through geopolitics alone, it is necessary to examine multiple variables together.

[Rising U.S.-Iran Tensions... Deepening Sanctions Conflict] In particular, tensions surrounding the United States and Iran are one of the variables the gold market is watching. Iran has taken a hard-line stance aimed at countries participating in U.S.-led economic sanctions on Iran. Recently, the Iranian side reportedly issued a warning to the effect that countries participating in U.S.-led sanctions could be regarded as enemies.

U.S. President Donald Trump is also raising the level of economic pressure on Iran. President Trump recently stated a policy of substantially strengthening economic pressure on Iran. As the conflict between the United States and Iran spreads back into the economic and sanctions arenas, uncertainty surrounding the Middle East situation continues.

[This Week's Watch Point: July PCE Price Index] Key economic indicators to be released in the United States this week also merit attention. In particular, the July Personal Consumption Expenditures (PCE) price index could move market expectations for future U.S. monetary policy. If price pressure proves stronger than expected, interest rate outlooks and the dollar's value could shift, which may also affect gold prices. Conversely, if signals of easing inflation are confirmed, expectations for future monetary policy could change, making whether international gold prices can secure additional upward momentum from the upper $4,600 range a key watch point.

[※ This article is for informational reference only for investment decisions and does not recommend the purchase or sale of gold. Responsibility for investments lies with the investor.]