Commodities
Home›Commodities›Precious Metals›Gold slips for a second day on Middle East escalation…
Gold slips for a second day on Middle East escalation fears
Spot gold fell to 4,032 USD per ounce as renewed strikes around Iran and shipping risks boosted inflation concerns, while Fed minutes pointed to caution on tightening.
Gold prices declined for a second straight day, with spot gold trading down to 4,032 USD per ounce on Thursday, as tensions in the Middle East intensified investor concerns.
Action Forex said the market pressure reflected fears that a further escalation could disrupt energy supplies and accelerate inflation. The US military confirmed it has been striking targets in Iran for a second consecutive day to limit Tehran’s ability to threaten shipping through the Strait of Hormuz, while Iran announced preparations for a large-scale operation against American military bases in the region.
The report also highlighted US President Donald Trump’s view that the ceasefire has effectively come to an end, alongside warnings of additional strikes and a potential naval blockade. At the same time, attention turned to the minutes from the Fed’s June meeting, which showed only a small portion of participants advocating a rate hike as early as June, with most still focused on inflation risks.
According to Action Forex, gold’s upside remains capped because markets continue to price in at least one Fed interest rate increase before the end of 2026, even as demand for safe-haven assets persists. The outlet added that technical levels on XAU/USD point to continued downside pressure, including a move toward 3,930 USD before a potential rebound toward 4,055 USD, with the possibility of an extension to 4,150 USD.
Latest closeGold $4,023.80 ▼1.2%