Gold prices are currently falling continuously. Meanwhile, the US dollar has seen some gains. Many investors believe that gold prices will fall further. However, one investor has a different view. This investor has warned that not only will gold prices rise, but the dollar will also weaken in the future.
Billionaire investor Ray Dalio social media platform X A post on said that US sanctions on Russian oil companies could cause turmoil in the global financial world. This could weaken the dollar and increase gold prices. He cited past examples where economic wars have changed global financial dynamics.
History and logic have made clear that sanctions reduce the demand for fiat currencies and debts denominated in them and support gold. Throughout history, before and during shooting wars, there have been financial and economic wars that we now call sanctions (which means cutting…
— Ray Dalio (@RayDalio) October 23, 2025
Impact on gold and dollar
These events have caused fluctuations in gold prices. Spot gold was down 0.2% at $4,118.68 an ounce on Friday morning, heading for its first weekly decline in 10 weeks. A stronger dollar and forecast conditions for US inflation put pressure on prices. US December gold futures fell 0.3% to $4,133.40 an ounce.
Impact of the ban on the world
It is important to understand that when a country imposes sanctions on another country, it does not only affect the country that is being sanctioned. It can also affect the global economy. For example, if sanctions are imposed on a major oil producer such as Russia, the supply of oil may decrease, causing oil prices to rise. This can lead to inflation in countries around the world.
Additionally, when a country's currency weakens, it can create problems for other countries as well. Dalio says that during such times, people choose to invest in assets like gold to protect their wealth. This increases the demand for gold, making it more expensive.
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