Gold Edges Higher as Iran Diplomacy Hopes Limit Gains
Gold prices edged higher on Monday as investors weighed escalating Middle East tensions against hopes for diplomacy. Spot gold was trading near US$4,017–US$4,019 per ounce, while US gold futures hovered around US$4,023 per ounce.
Gold remained supported by geopolitical uncertainty. Strikes between the US and Iran continued to intensify, including attacks on a key oil facility in Kuwait and vessels attempting to transit the Strait of Hormuz. The situation kept markets concerned over potential disruptions to global energy supplies.
However, gold’s upside remained limited as oil prices eased after earlier climbing above US$90 per barrel. Oil remains a key market focus, as a renewed surge in energy prices could revive inflationary pressures.
Hopes for diplomacy also began to emerge. US Secretary of State Marco Rubio said Washington remained open to holding talks with Iran. On the other side, Iran also signaled that negotiations could take place based on national interests.
Iran’s Foreign Ministry spokesperson said mediators had submitted several proposals aimed at preventing a wider escalation of the conflict. The statement offered some hope that diplomatic channels remain open, even though conditions on the ground remain tense.
Market-wise, gold remains caught between two opposing forces. Middle East tensions continue to support safe-haven demand, but energy-driven inflation risks and expectations for higher US interest rates are limiting further gains. As long as gold fails to break firmly above the US$4,025–US$4,030 area, its recovery may remain fragile.
Source : Newsmaker.id
