Trump signed an executive order imposing sanctions on Iranian Supreme Leader Ayatollah Ali Khamenei and other top Iranian officials. He condemned Khamenei as “the hostile conduct of the regime” in the Middle East.
The sanctions will “deny the Supreme Leader and the Supreme Leader’s office, and those closely affiliated with him and the office, access to key financial resources and support.” They could lock up billions of dollars more in Iranian assets. They were in part a response to downing of a US drone by Iran last week.
Iranian Foreign Ministry responded: “Imposing useless sanctions on Iran’s Supreme Leader Khamenei and the commander of Iran’s diplomacy is the permanent closure of the path of diplomacy. Trump’s desperate administration is destroying the established international mechanisms for maintaining world peace and security.”
Gold surges to as high as 1439.23 so far on escalating geopolitical tensions. 100% projection of 1160.17 to 1346.71 from 1266.26 at 1452.80 is now within reach. But the key level is 100% projection of 1046.37 to 1375.17 from 1160.17 at 1488.97. Decisive break will add to the case that current long term rise from 1046.37 (2015 low) is an impulsive move, rather than a corrective move. In that case, gold is likely just in the middle of an up trend, rather than the end of it.
