🔥 Key Takeaways
- Gold (XAU/USD) experienced a volatile start to 2026, driven by US data and geopolitical developments.
- The precious metal gained bullish momentum after losing over 4% in the last week of 2025.
- December inflation data from the US and geopolitical events are expected to influence gold’s price action in the coming weeks.
Gold Weekly Forecast: A Volatile Start to 2026
As the new year begins, gold (XAU/USD) is off to a volatile start, with its price action being driven by a combination of US economic data and geopolitical developments. After a disappointing end to 2025, where it lost more than 4% in the last week, gold has managed to gather some bullish momentum. This rebound occurred as trading conditions normalized, allowing the precious metal to enter a consolidation phase following an initial rally earlier in the week. Despite this, gold still managed to register weekly gains, setting the stage for a potentially eventful January.
Driving Factors: US Data and Geopolitics
The upcoming release of December inflation data from the US is expected to play a significant role in determining gold’s trajectory in the short term. Inflation figures can significantly impact interest rate decisions, which in turn affect the attractiveness of gold as an investment. Furthermore, geopolitical tensions and developments around the globe could also influence investor appetite for safe-haven assets like gold. As markets assess these factors, volatility in gold prices is likely to continue, making for an unpredictable start to 2026.
Read Also Epochs
