At the time of writing, XAU/USD trades around $5,522, consolidating after setting a fresh record peak near $5,598 earlier in the day. Heightened geopolitical tensions remain a key driver behind the latest surge in Gold, with US-Iran risks back in the spotlight after Washington issued fresh warnings of potential military action. Central banks bought 863 tonnes of Gold during the year, while global Gold ETF holdings rose by 801 tonnes — the second-strongest annual increase on record. On the monetary policy front, the Fed kept interest rates unchanged in the 3.50%-3.75% range in a 10-2 split decision. On the upside, if bullish momentum remains intact, XAU/USD could extend higher toward the $5,700-$5,800 zone.