Global Gold Demand Decline Triggers Price Correction
The global demand for gold has declined, causing its export benchmark price (HPE) and reference price (HR) to fall. According to Director General of Foreign Trade at the Ministry of Trade Tommy Andana, the strengthening of major currencies in the international market and rising bond yields have put pressure on gold prices.
Gold HPE fell by 0.7 percent to $130,921.50 per kilogram from $131,839.51 per kilogram in the second period of July 2026. Gold HR also decreased to $4,072.12 per troy ounce (t oz) from $4,100.67 per t oz.
The decline in gold prices is attributed to investors switching to other instruments with more measurable risks and profits due to gold's lack of periodic returns. With the world's gold supply remaining adequate, this shift has led to a price correction in the international market.