Gold prices fluctuate around $3,400 with Israel-Iran tensions in the spotlight
The post Gold prices fluctuate around $3,400 with Israel-Iran tensions in the spotlight appeared on BitcoinEthereumNews.com.
Gold prices return to $3,400 after reports stating that Iran is willing to continue talks with the US over its nuclear program. Bullion remains supported by its safe-haven appeal and the weakness of the US Dollar (USD). Global leaders meet in Canada to discuss the current conflicts and risks that could continue to influence the yellow metal ahead of Wednesday’s Fed decision. Gold is trading lower on Monday as a combination of profit-taking and geopolitical risks continues to drive prices. At the time of writing, XAU/USD is hovering around $3,400, which has acted as support and resistance throughout the day. According to the Wall Street Journal, Iran has been urgently signaling that it seeks an end to hostilities and a resumption of talks over its nuclear program, sending messages to both Israel and the United States via Arab intermediaries, Middle Eastern and European officials said. This reported shift in tone has contributed to easing geopolitical tensions, helping pull back safe-haven demand for Gold and easing upward pressure on Oil prices. The market interpreted this as a tentative step toward de-escalation, with traders now reassessing the risk premium embedded in commodities. The metal’s safe-haven appeal, coupled with swings in US 10-year Treasury yields, remains the principal driver of prices; however, profit-taking at elevated levels has capped further gains. Geopolitical tensions continue to underpin demand: the conflict between Israel and Iran, now entering its fourth day, shows no sign of easing, and calls for de-escalation by the United Nations, Saudi Arabia, and the US have gone unheeded. Despite the minor pullback, Gold remains elevated due to safe-haven flows stemming from Middle East tensions and dovish expectations for a Fed rate cut. Despite recent pullbacks, many analysts view current levels as a buying opportunity, although volatility may remain elevated until major developments or…
