Global gold prices today continued to decline after geopolitical tensions eased, particularly regarding Iran and Russia, combined with a stronger US dollar. Investors are watching the Federal Reserve meeting report due this week closely.
Spot gold prices fell 0.8% to $4,953.90 per ounce at 03:45 GMT, after previously dropping 1%. Meanwhile, US April gold futures declined 1.5% to $4,972.90 per ounce.
Ilya Spivak, Head of Macro Analysis at Tastylive, said gold prices remain within a limited range as geopolitical risks have not significantly expanded. The FOMC meeting report and the Federal Reserve's outlook will be key factors guiding price direction.
Pressure on gold also stems from signs of easing tensions after US President Donald Trump revealed he will be indirectly involved in nuclear talks with Iran in Geneva, expressing confidence that Tehran wants to reach an agreement.
Meanwhile, Ukrainian and Russian representatives are scheduled to meet in Geneva on Tuesday and Wednesday for new peace talks mediated by the US. Russia indicated the discussions will likely focus mainly on territorial issues.
The US dollar index rose 0.2%, causing gold—which trades in dollars—to become more expensive for holders of other currencies, thereby suppressing demand.
However, investors are awaiting the Federal Reserve's January meeting report, due Wednesday, for signals on monetary policy direction. Data from the CME FedWatch Tool indicates the market expects the first interest rate cut possibly in June.
Spivak assessed that gold's short-term resistance is around $5,120 per ounce. If surpassed, the next target could revisit previous highs near $5,600 and potentially push toward record levels again.
Other precious metals also fell alongside gold, with spot silver down 1.6% to $75.33 per ounce after a prior drop of over 3%. Platinum declined 1.3% to $2,014.08, and palladium dropped 2.3% to $1,685.48.
Source:channelnewsasia
Click to read the newsGold Prices