Gold Prices Stable Amid Mideast Tensions: Why No Sharp Rally?

• Despite escalating US, Israel, and Iran tensions, gold prices have not seen a sharp breakout, moving in a narrow range.
• Profit booking after a strong rally in late 2025 and early 2026 has limited further gains, with geopolitical risk premium already priced in.
• High global interest rates make fixed-income assets more appealing than non-income-generating gold, diverting investor funds.
• International markets show strong technical resistance near the $5,200 level, preventing a decisive break higher.
• Upcoming US economic data, including Initial Jobless Claims and Nonfarm Payrolls, will influence the Federal Reserve's interest rate outlook, impacting gold's direction.