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Gold prices surge, driven by escalating geopolitical tensions

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KUWAIT: Gold prices surged to unprecedented levels last week, bolstered by escalating geopolitical tensions, heightened US-China trade frictions, and a sharp decline in the US dollar, according to a report issued Sunday by Kuwait’s Dar Al-Sabayek Company. Spot gold prices reached an all-time high of $3,245.45 per ounce, marking a weekly gain of 6.9 percent. The report attributed the rally to increased global demand for safe-haven assets, driven by fears of a global economic slowdown and the weakening of the US currency.

Gold futures for June delivery also witnessed strong gains, closing at $3,244.6 per ounce, an increase of $67.1 or 2.1 percent in a single trading session. The report noted that the US dollar index fell significantly to 99.01 points — its lowest level since May 2022 — following the release of weaker-than-expected US economic data. This included a 0.4 percent monthly decline in the Producer Price Index (PPI) for March, marking its first contraction in 17 months.

The annual inflation rate, as measured by the PPI, also eased to 2.7 percent in March from 3.2 percent in February. Core inflation, which excludes volatile food and energy prices, remained stubbornly high at 3.3 percent, complicating the outlook for US monetary policy, the report stated. Consumer sentiment also deteriorated, with the University of Michigan’s consumer confidence index dropping from 57 points in March to 50.8 in April’s preliminary reading. The data reflects growing pessimism among US households regarding economic conditions and inflation expectations, which rose to 6.7 percent in the short term and 4.4 percent in the long term.

Meanwhile, trade tensions between the US and China reached new heights after Washington raised tariffs on Chinese imports to 145 percent. Beijing responded with retaliatory tariffs of 125 percent on US goods. The dispute now affects over $700 billion in bilateral trade, according to the report. This intensification of the trade war has further reinforced gold’s appeal as a safe-haven asset, helping it remain above the $3,200 mark despite the upward movement in real yields on US 10-year Treasury bonds, which rose to 2.307 percent — typically a bearish factor for gold.

Dar Al-Sabayek emphasized that gold’s resilience amid rising yields underscores the dominance of geopolitical and economic uncertainty over traditional market drivers such as interest rates. The report added that market sentiment this week will likely be shaped by key events, including corporate earnings on Wall Street, US retail sales and industrial production data, GDP figures from China, and inflation and employment statistics from the United Kingdom. Decisions from major central banks — the European Central Bank, Bank of Canada, and Bank of Korea — are also expected to influence markets.

Gold continues to attract strong investor interest as the preferred asset during periods of global instability. Ongoing tensions in the Middle East and Red Sea region, the protracted Russia-Ukraine conflict, and China’s military activity near Taiwan have all contributed to heightened demand for the precious metal. In the local market, the report stated that 24-karat gold was priced at KD 32.1 per gram (approximately $98), while 22-karat gold stood at KD 29.42 (around $90) per gram. Silver prices held steady at KD 370 per kilogram (about $1,209). The report also clarified that the troy ounce, commonly used in precious metals trading, is equivalent to 31.103 grams. — KUNA

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Kuwait strikes major gas find

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Amir receives oil minister, top energy officials • Jazza offshore field discovery hailed

KUWAIT: HH the Amir Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah received on Monday at Bayan Palace Oil Minister and Kuwait Petroleum Corporation Chairman Dr Tareq Al-Roumi, KPC Deputy Chairman and CEO Sheikh Nawaf Saud Al-Nasser Al-Sabah and Kuwait Oil Company CEO Ahmad Jaber Al-Aidan.

During the reception, they briefed HH the Amir on the newly discovered Al-Jazza natural gas field, which is considered an accomplishment in the Kuwait maritime area, recording the highest production rate of a vertical well in the Minagish formation in Kuwait’s history, as part of KOC’s efforts to develop the nation’s hydrocarbon resources. The top officials presented HH the Amir with a commemorative gift on this occasion.

According to a statement released by KPC, this discovery follows a series of successive offshore exploration successes, including the Nokhatha field discovery in July 2024 and the Julaiah field in January 2025, reflecting significant progress in Kuwait’s offshore exploration capabilities. Initial test results from the Jazza-1 well showed exceptional production exceeding 29 million cubic feet of gas per day.

Al-Jazza offshore gas field

Al-Jazza offshore gas field

The reservoir is characterized by low carbon dioxide levels and is free from hydrogen sulfide and associated water, making it an environmentally and technically rare discovery. The field’s preliminary area is estimated at around 40 sq km, with potential reserves of approximately 1 trillion cubic feet of

gas, These figures are preliminary and may increase with continued exploration in adjacent reservoirs.

Al-Roumi said this discovery represents a strategic milestone within KPC’s and KOC’s 2040 vision to enhance national energy security and boost production capacity. He added that efforts are underway to accelerate the development of offshore fields and integrate them into the production system, supporting economic growth and creating new job opportunities for Kuwaiti talent.

Sheikh Nawaf expressed pride in the achievement, saying these discoveries reflect professionalism of Kuwaiti teams exploring unprecedented frontiers in the oil and gas sector. He added that the findings confirm the high environmental quality of Kuwaiti petroleum, characterized by low emissions, in line with the country’s long-term sustainable energy strategy.

Al-Aidan praised the company’s staff for their efforts in achieving such promising hydrocarbon discoveries, emphasizing that these accomplishments are the result of teamwork, excellence and innovation. He reaffirmed that the company will continue advancing toward development and industry leadership. – KUNA

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MoI reviews smart security patrol

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KUWAIT: First Deputy Prime Minister and Minister of Interior Sheikh Fahad Al-Yousef Saud Al-Sabah on Monday was briefed on the Ministry’s new smart security patrol, equipped with the latest technical systems to enhance the speed, accuracy, and efficiency of security operations in the field. In a press statement, the Interior Ministry said the initiative reflects its commitment to keeping pace with technological developments and supporting digital transformation in security work.

Sheikh Fahad Al-Sabah received an explanation from Brigadier Anwar Al-Yatama, Head of the Human Resources and Information Technology Sector, on the patrol’s key components and smart systems, which were developed by national experts in information technology and cybersecurity. The patrol features an integrated system of advanced technologies, including smart mobile cameras linked to facial recognition and vehicle license plate systems, a mobile fingerprint device for instant identification, and direct connections to the ministry’s databases for rapid identification of wanted persons and vehicles.

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The system also incorporates artificial intelligence for real-time image processing and analysis, supporting security personnel in the field and improving operational efficiency. Sheikh Fahad Al-Sabah emphasized the importance of leveraging modern technology to enhance field security work and praised national teams for developing the project, calling it a significant step in the ministry’s technological transformation. The Interior Ministry reaffirmed its ongoing efforts to modernize the security system and employ cutting-edge technologies to serve public safety, contributing to enhanced security and stability across Kuwait.

New service on Sahel

In a separate development, the Ministry announced the launch of a new service via the unified government application for electronic services (Sahel), allowing families of inmates to request appointments with officials from the General Administration of Correctional Institutions. Interviews will be conducted every Monday from 4 to 6 pm, enabling families to submit inquiries and complaints efficiently. — KUNA

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Ministry launches electronic system to enhance radiation control at customs

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KUWAIT: The Ministry of Health (MoH) on Monday announced the activation of an electronic linkage system between its Radiation Protection Department and the General Administration of Customs. The system aims to streamline and accelerate control procedures for materials and devices subject to radiation oversight, while ensuring the highest safety standards. Director of the Radiation Protection Department, Dr Nasser Al-Juwaisri, said in a ministry statement that the system represents a qualitative leap in radiation control, enhancing information exchange between the two entities, reducing paperwork and speeding up procedural cycles. He added that it will improve accuracy and transparency in customs inspections and release operations.

Dr Al-Juwaisri explained that the materials under control include ionizing radiation devices such as X-ray machines, medical and industrial radioactive sources, radiotherapy devices, isotope generators and nuclear measuring instruments. Non-ionizing devices are also covered, including high-power laser systems, radar equipment, communication stations, and certain medical and industrial devices with non-ionizing emissions. He noted that the initiative aligns with the Ministry’s vision for digital transformation and institutional integration with government agencies, in line with Kuwait’s broader electronic transformation strategy. The step underscores the Ministry’s commitment to worker and public safety, as well as environmental protection from potential radiation hazards.

The director added that the Public Health Sector has previously established electronic connectivity with the General Administration of Customs to facilitate control and release of public health pesticides, insecticides, optical devices and traps, within a comprehensive system that enhances safety in preventive health practices. Dr Al-Juwaisri confirmed that the Ministry will continue expanding digital integration to ensure a safe and sustainable health environment, in line with the highest international standards for radiation safety and health protection. — KUNA

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