Precious metals markets experienced a strong rally. On the afternoon of April 14, spot gold rose by over 1%, while spot silver surged more than 3%. Analysts noted that market optimism has been reignited by prospects of the United States and Iran resuming negotiations to end hostilities, easing inflation concerns.
Market attention is now focused on the next round of US-Iran talks. According to the latest reports, an official from the Iranian embassy in Pakistan indicated that the next round of negotiations may take place this week or early next week. However, it remains uncertain whether the talks will still be held in Islamabad, Pakistan's capital.
Contradicting earlier reports, Hadi Golriz, press officer at the Iranian embassy in Pakistan, stated on the 14th that Western media claims regarding the timing and location of the next round of talks were "baseless." He emphasized that the negotiations could occur at any time and place, with no official information currently available.
During afternoon trading on April 14, gold and silver prices climbed sharply. By 16:30 Beijing time, spot gold had gained 0.98% to $4,789.12 per ounce, while silver jumped 3.15% to $77.96 per ounce. In pre-market US trading on Tuesday, mining stocks also advanced, with Hecla Mining and Pan American Silver both rising over 2%, and companies including Gold Fields, Kinross Gold, and Harmony Gold posting gains exceeding 1%.
Justin Lin, investment strategist at Global X ETFs Australia, commented, "Gold trading remains primarily driven by interest rate expectations rather than its role as a geopolitical hedge. Consequently, gold is moving in tandem with equities as markets anticipate a de-escalation of tensions."
Goldman Sachs and ANZ Bank recently reaffirmed their long-term bullish outlook for gold prices. Swiss private bank Union Bancaire Privée (UBP) has rebuilt gold positions during price dips, maintaining a target of $6,000 per ounce by the end of 2026. Paras Gupta, head of discretionary portfolio management for Asia at UBP, disclosed that the bank has been gradually increasing client exposure to gold, raising allocations from approximately 3% to about 6% in discretionary portfolios, with plans for further additions. Gupta highlighted structural demand drivers, including central bank purchases, persistent fiscal deficits, and geopolitical tensions.
UBP manages client assets totaling 184.5 billion Swiss francs (approximately 16.09 trillion yuan).
In central bank activity, the National Bank of Poland led monthly purchases with 20 tonnes—the largest single-month acquisition in nearly a year—bringing its total gold reserves to 570 tonnes, representing 31% of total reserves. Poland's central bank governor, Adam Glapiński, has previously announced a target of 700 tonnes, signaling a clear long-term accumulation strategy. The Czech National Bank extended its net purchasing streak to 36 consecutive months, raising reserves to 75 tonnes. The People's Bank of China continued its 16th straight month of increases, while Kazakhstan added 8 tonnes, reaching the highest level since January 2023. Uzbekistan recorded its fifth consecutive month of net purchases, with gold now comprising 88% of its total reserves.
Regarding US-Iran negotiations, reports on April 14 suggested that talks could resume in Islamabad later this week or early next week. Iranian officials have reportedly reserved dates between the 17th and 19th for potential discussions. Some Pakistani media outlets earlier indicated that negotiations might restart on the 16th in Islamabad, while US media mentioned alternative venues such as Geneva, Switzerland, should talks proceed.
On April 13, Iranian Deputy Interior Minister Ali Zenivand dismissed former US President Donald Trump's social media threats to "destroy" Iranian civilization as a "joke," asserting that those unfamiliar with Iran's civilization cannot comprehend its strength. Zenivand, speaking at a press conference in Tehran, stated that "the enemy" has so far failed to inflict harm through border incursions, noting that armed forces maintain "absolute superiority" in monitoring border activities through command centers in northwestern and southeastern regions.
Trump had previously threatened Iran in a social media post, warning, "Tonight, the entire civilization will perish. I do not wish for this to happen, but it might."
Comments