Gold prices fall to $4,586.53, silver slips as easing geopolitical tensions impact safe-haven demand

Vijay Valecha, January 15, 2026, Middle East Economy

Gold and silver prices edged lower on Thursday as investors took profits after three straight sessions of record highs, while a softer stance from U.S. President Donald Trump on the Federal Reserve Chair and Iran reduced demand for safe-haven assets.

In the UAE, gold rates edged down, with 24-carat gold losing AED5.5 to AED553 and 22-carat gold declining AED4.75 to AED512.25. Additionally, 21-carat gold eased AED4.75 to reach AED491, while 18-carat gold edged down AED4 to AED421.

Meanwhile, 14-carat gold fell AED3,25 to AED328.25.

As of 5:26 GMT, spot gold fell 0.90 percent to $4,586.53 an ounce, after touching a record high of $4,642.72 in the previous session. Meanwhile, silver fell 4.07 percent to $87.68 after hitting an all-time high of $93.57 earlier in the ​session.

U.S. gold futures for February ​delivery also dipped 0.98 percent to $4,590.40.

Geopolitical risk eases on Trump’s comments

Gold prices had climbed to consecutive record highs amid concerns that escalating unrest in Iran might prompt U.S. military action and destabilize the Middle East, coupled with worries over political pressure on the U.S. central bank.

Those concerns eased after Trump indicated a softer stance on Iran, saying he had been assured that Iranian authorities were halting the killings of protesters and that he believed no large-scale executions were planned.

As Iran’s leadership moves to suppress the most severe domestic unrest since the 1979 revolution, Tehran has threatened U.S. military bases in the region in an effort to deter Trump’s repeated warnings of possible military intervention. At the White House, however, Trump indicated he was taking a wait-and-see approach to the crisis.

“Geopolitical tensions remain elevated. Violent protests in Iran, renewed U.S. pressure on Venezuela, fresh tariff threats linked to Tehran, and ongoing conflict in Ukraine have all heightened uncertainty and pushed demand for assets insulated from political outcomes,” said Vijay Valecha, Chief Investment Officer, Century Financial.

“As inflation eases, expectations for rate cuts grow, and geopolitical risks persist, any drop in gold prices will likely be seen as a buying opportunity while the metal stays near its historic highs,” he added.

Easing Federal Reserve concerns pressure bullion

Gold prices also came under pressure after Trump sought to ease worries regarding the Federal Reserve. Trump said on Wednesday that he does not intend to dismiss Federal Reserve Chair Jerome Powell, despite a Justice Department criminal investigation, though he added it was “too early” to determine what action he might ultimately take.

The retreat was also linked to profit-taking, as gold’s rapid rise had pushed prices well above key technical levels. Despite Thursday’s drop, the metal remained supported by expectations of U.S. interest rate cuts later this year, ongoing geopolitical uncertainties, and robust central bank demand.

Later in the day, investors will turn their attention to U.S. weekly jobless claims for the first week of January to gauge labor market conditions and gain further insight into the Fed’s monetary policy outlook. Traders continue to price in two interest-rate cuts this year. A low-rate environment, along with geopolitical and economic uncertainty, typically supports demand for non-yielding assets such as gold.

“Softer-than-expected U.S. inflation data has reinforced expectations for two Fed rate cuts this year, while growing concerns over the Federal Reserve’s independence, following reports of potential legal action against Chair Jerome Powell, have unsettled rate markets and weighed on the U.S. dollar,” said Valecha.

Other precious metals

As gold and silver prices slipped, the broader precious metals market witnessed major declines. Spot platinum fell 4.03 percent to $2,288.10 after reaching a record high of $2,478.50 on December 29, while palladium fell 2.5 percent to $1,781.30, lingering near a one-week low.

Source

Middle East Economy