During the Asian trading session on Tuesday (December 9), spot gold traded around $4,190. As of press time, the latest price stood at $4,185.40 per ounce, down 0.09%, after reaching a high of $4,198.62 and a low of $4,182.94. Currently, spot gold shows a short-term consolidation trend. If the conflict prolongs and destabilizes the region, it may marginally heighten market perceptions of "rising geopolitical uncertainty," offering slight support for safe-haven gold. Spot gold edged up 0.14% on Tuesday.
**Key Developments** Thailand's military announced that its fighter jets conducted airstrikes on Cambodia on Monday (December 8), aiming to weaken Cambodia's long-term military capabilities. The renewed border clashes have jeopardized the fragile ceasefire brokered by former U.S. President Donald Trump.
Official reports indicate that both sides accused each other of initiating overnight clashes, which escalated before dawn and spread to multiple locations, resulting in the death of one Thai soldier and four Cambodian civilians.
Cambodia condemned Thailand's "inhumane and brutal" aggression, emphasizing it had not retaliated. Meanwhile, Bangkok stated that it launched airstrikes on military targets after its neighbor mobilized heavy weapons and redeployed combat units.
The deployment of fighter jets underscores Thailand's military superiority over Cambodia—whether in troop numbers, defense budgets, or weaponry.
For over a century, Thailand and Cambodia have disputed sovereignty over unmarked sections of their 817 km (508 miles) shared border. Tensions over ancient temples have frequently fueled nationalism, leading to sporadic armed clashes, including a week-long artillery exchange in 2011 that caused casualties.
After a Cambodian soldier was killed in crossfire in May this year, tensions escalated, with both sides amassing troops along the border, ultimately leading to a diplomatic breakdown and armed conflict.
**Latest Spot Gold Market Analysis** Gold opened the week testing resistance, peaking at $4,219. Based on this, short positions were initiated near $4,217, closely aligning with the day's high. During the European and U.S. sessions, gold prices declined steadily, allowing the short positions to be closed at $4,176 for a profit. While the gains were modest, the move validated the bearish outlook.
This week, market focus remains on the U.S. interest rate decision. After recent volatility, the market is now in a consolidation phase, likely to remain range-bound in the short term. Thus, traders should prioritize short-term profit-taking. Currently, gold faces significant resistance roughly $100 above its current price.
At present, spot gold is trading around $4,195. Overnight weakness has created short-term resistance, with prices retesting this level after a dip. In the near term, if prices breach $4,200, attention should turn to the $4,218–$4,220 resistance zone for potential shorting opportunities. On the downside, support lies near $4,175, where long positions could be considered near the consolidation lower bound. Overall, both bullish and bearish strategies present viable opportunities intraday.
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