Gold Strengthens, Iran Tensions Remain Looming
Gold prices have risen again after being pressured by a strengthening US dollar and concerns about energy inflation. This increase indicates that investor interest in safe assets remains strong amidst the unstable global situation, especially after the re-escalation of US-Iran tensions.
The main sentiment still stems from the deadlock over the US-Iran peace proposal. US President Donald Trump rejected Iran's response to Washington's peace proposal, rekindling market concerns about the risk of energy supply disruptions from the Strait of Hormuz. This situation pushed Brent oil prices briefly above US$103 per barrel and maintained high geopolitical uncertainty.
Although gold received support from safe-haven demand, its gains were limited by concerns that high oil prices could push US inflation back up. If energy inflation persists, the Fed could potentially delay interest rate cuts for longer, putting pressure on non-yielding gold. Reuters noted that the market is now also awaiting US inflation data for clues to the Fed's next policy direction.
Going forward, gold's movement will likely remain highly sensitive to three main factors: developments in the US-Iran war, the direction of oil prices, and US inflation data. If geopolitical tensions escalate, gold has the potential to continue strengthening. However, if the US dollar and bond yields rise again due to expectations of high interest rates, gold's rally could be stalled.(CP)
Sumber: Newsmaker.id
