Trump’s 48-hour ultimatum to Iran catapults oil to $111.5 per barrel; gold expected to follow

US President Donald Trump issued a 48-hour ultimatum to Iran, demanding a deal or the reopening of the strategically vital Strait of Hormuz. The announcement sent shockwaves through global energy markets, pushing crude oil prices higher.

The price of US WTI crude oil per barrel climbed to $111.5, while British Brent crude rose to $109.2 per barrel. Analysts note that the escalating tensions in the Middle East have also contributed to significant increases in petroleum product prices in countries such as Pakistan.

GOLD OUTLOOK: PRICE HIKE AMID MARKET UNCERTAINTY

Goldman Sachs, the world’s largest investment bank, has forecast a potential rise in gold prices despite recent market volatility. The price of gold experienced its largest monthly decline in over a decade, influenced by geopolitical tensions in the Middle East.

As of April 1, gold prices ranged between $4,567 and $4,769 per ounce, down from a late January high of approximately $5,600. Nevertheless, Goldman Sachs maintains that the price could reach $5,400 per ounce by the end of the year.

The bank highlights that long-term investors continue to hold gold, using it as a hedge against economic uncertainty. Experts suggest that these investment patterns could drive further price increases, even in light of the recent decline. In Pakistan, gold prices remained stable yesterday with no significant changes reported.