Gold prices rose slightly amid intensified diplomatic efforts between the US and Iran, which eased inflation fears. This was reported by Bloomberg, writes UNN.
Details
The price of gold exceeded $4810 per ounce after falling 1.1% in the previous session. The increase occurred amid expectations of a continued truce between the US and Iran, which could stabilize global markets.
At the same time, the situation in the Strait of Hormuz remains tense – ship traffic is restricted due to blockades by the US and Iran.
Impact of negotiations
According to the media, the parties have a “principal agreement” to continue negotiations after the first round in Pakistan. US President Donald Trump also stated that the war is “almost over.”
These signals eased pressure on energy markets and lowered inflation expectations.
Forecasts
Analysts note that gold remains under pressure due to high rates and liquidity instability.
Political reaction will be key
Since the beginning of the war, gold prices have fallen by approximately 9%, but have recently partially recovered amid expectations of de-escalation.