Ukraine Peace Moves Closer? Gold & Oil Could Reverse
Russia-Ukraine peace talks are entering a more serious phase. Trump said the chances of an agreement to end the war are "closer than ever" after discussions with Zelenskiy and European leaders.
The main topic of discussion is a "security guarantee" package for Ukraine, modeled after NATO-style protection, plus the idea of a multinational force (led by Europe) and a ceasefire monitoring system to ensure the agreement is maintained.
But this isn't final. Major sticking points remain: the issue of Russian-controlled territory, the terms of troop withdrawal, and the technical details of the ceasefire. So, progress is being made—but it's still a tough negotiation stage.
The impact on gold is usually this: if the prospect of peace becomes more credible, geopolitical tensions decrease. As a result, interest in safe-haven assets like gold can decrease, making gold prices more easily "resilient" and difficult to continue rising high.
For oil, news of peace tends to be more pronounced. The market immediately thinks the risk of war is diminishing and there's a chance of smoother Russian supply, making global supply seem more relaxed. This makes oil vulnerable to pressure.
In conclusion: as long as there's no official decision, gold and oil prices will remain volatile due to headlines. However, the key determinants remain major economic data and central bank policy directions, as these are typically the strongest drivers of the dollar, yields, and market sentiment. (Asd)
Source: Newsmaker.id
