Gold Prices Edge Higher Amid Focus on US-Iran Peace Negotiations
Gold prices posted slight gains during early Asian trading on Wednesday as investors continued to monitor ongoing peace negotiations between the United States and Iran.
The precious metal has traded within a narrow range over the past 10 days as markets assess mixed signals surrounding the Iran conflict. Bullion prices briefly declined on Tuesday after the US military launched strikes on targets in southern Iran.
Spot gold climbed 0.2% to $4,518.06 per troy ounce as of 07:57 WIB, while gold futures advanced 0.3% to $4,550.32 per ounce.
Despite the modest rebound, spot gold remains trapped within a trading range between $4,400 and $4,600 per ounce over the last 10 days.
Concerns over the inflationary impact of the Iran conflict continue to weigh heavily on gold prices, especially after recent inflation data revealed energy-driven price increases during March and April.
The inflation outlook has fueled speculation that major central banks could raise interest rates in the coming months to combat rising prices — a development typically considered bearish for gold markets.
According to CME FedWatch data, markets are currently pricing in nearly a 40% probability that the Federal Reserve will increase interest rates in December.
Meanwhile, other precious metals showed mixed performance on Wednesday. Spot silver gained 0.2% to $77.1055 per ounce, while spot platinum fell 0.7% to $1,953.19 per ounce.