Home›Commodities›Precious Metals›Gold rises as Iran talks ease concerns about higher ra…

Gold rises as Iran talks ease concerns about higher rates

Spot gold was up 0.6% to $4,070.21 an ounce as Brent crude fell more than 7% and traders watched the Fed for possible changes to meeting frequency.

Reported · Written up by our desk · Precious Metals

Gold prices rose as US President Donald Trump said fresh negotiations with Iran would begin later Monday, lifting expectations for a breakthrough in a months-long conflict that has fed energy-driven inflation concerns, according to LiveMint Markets citing Bloomberg.

Bullion was trading around $4,070 an ounce, after finishing July up 1% for its first monthly gain since February. The report said Trump called off a planned massive attack on Iran following requests from Middle East allies, including Saudi Arabia, to pursue a deal instead.

The move came alongside a sharp drop in crude, with benchmark Brent falling more than 7%. Traders also focused on the Federal Reserve, after the New York Times reported Chair Kevin Warsh was considering reducing how often the Fed holds policy meetings.

Separately from the Iran-related shift in risk sentiment, the article said the Fed last week voted 9-3 to hold interest rates steady, with dissenters warning that waiting too long could require even more aggressive policy later. Spot gold was 0.6% higher at $4,070.21 an ounce in Singapore at 7:39 a.m., with silver up 1.2% to $58.26 an ounce and other metals also advancing.

Latest closeGold $4,098.60 ▼0.0%|Silver $57.77 ▼1.8%|WTI crude $86.80 ▲3.8%

More like this

Sources