Summary
Highlights
Central banks are net sellers of gold, contributing to downward pressure on its price. Some, like Turkey, sell gold to protect their currency and purchase dollars or other currencies to support their local currency. Other countries, particularly Gulf monarchies, have sold gold to maintain their economies after losing access to oil exports through the Strait of Hormuz.
Love drives 50% of gold consumption, primarily for jewelry in India, where it's culturally significant to buy jewelry during festivals. However, high gold prices have led to a 30% drop in purchases, with demand down 24% in 2025. This has led many to opt for silver as a cheaper alternative, increasing demand for "poor man's gold."
The video ends with a question for viewers: How many tonnes of gold did Turkey sell in March 2026? Viewers are encouraged to subscribe to the channel for future updates and the answer in the next video.
Gold has been stable for nearly a month, unaffected by geopolitical news or Trump's statements. We will explore why gold might stabilize for several weeks and how gold, oil, and the dollar interact during the Middle East crisis.
Since early April, gold prices have stabilized between 4050 and 4100 euros, a change from the volatility of Q1 2026. Gold, oil, and the dollar have shifted status with the conflict. Oil is seen as a geopolitical asset, the dollar as a short-term safe haven, and gold's neutral safe-haven status is tested. The relationship between gold, oil, and the dollar is complex, with rising oil prices strengthening the dollar but creating economic difficulties, making gold price predictions challenging.