Gold Prices Surge to N190,000 Amid US-Iran Tensions

Gold prices in Nigeria hit N190,000 per gram (approximately N6.1 million per ounce) for 24k gold due to heightened tensions between Iran and the United States. The global gold market rebounded from an early decline towards a four-week low of $4,320, as it began to recover during the European trading session.

A soft pull-back in the US Dollar contributed positively to gold prices, although a meaningful recovery appears limited due to anticipated rate hikes by the US Federal Reserve amid rising inflation pressures. The tensions escalated following a US strike on Iranian-owned rocket launchers near the Strait of Hormuz, which was the first such action since late July.

In retaliation, Iran targeted US-owned facilities in the region. This week also saw US Central Command (CENTCOM) report strikes on Islamic Revolutionary Guard Corps (IRGC) positions, coinciding with Iran's missile and drone attacks on American interests in Bahrain, Kuwait, and Jordan.