Indonesia lowers gold export benchmark as demand weakens

Indonesia's Ministry of Trade announced a reduction in the gold export price benchmark (HPE) and the reference price (HR) for the second half of July 2026, attributing the decline to weaker demand and a shift of investor funds toward higher‑yield assets. Director General of Foreign Trade Tommy Andana said rising bond yields and persistently high interest rates in major economies have prompted investors to move money into interest‑bearing assets, prompting some to sell gold to lock in profits.

The HPE was set at US$131,839.51 per kilogram, a 2.71% drop from the first half of July, while the HR fell to US$4,100.67 per troy ounce, down from US$4,214.92. The figures were established through Ministerial Decree No. 1559/2026, based on data from the Ministry of Energy and Mineral Resources and the London Bullion Market Association, with coordination among several ministries.

Market data showed spot gold prices around US$4,056‑4,058 per ounce, with analysts noting that further price moves could occur depending on inflation, interest‑rate outlooks, and geopolitical tensions affecting oil and gold markets.