Slight Decrease in Gold Prices Amidst Rising Tensions Between the US and Iran

SadaNews Economy - Gold prices slightly declined today, Wednesday, as investors assess the ongoing tensions between the US and Iran, and await statements from US Federal Reserve officials for indications regarding the monetary policy direction.

Gold fell in spot trading by 0.1% to $4,499.21 per ounce, while US gold futures for June settled at 4,503.60 points.

Elia Spivak stated that the overall trend in prices appears to be bearish, although the market is experiencing long periods of sideways movement, adding that this pattern is dominating today’s trading.

Iran stated yesterday, Tuesday, that the United States violated the ceasefire by bombing targets near the Strait of Hormuz, which could complicate efforts to end the war.

In contrast, US Secretary of State Marco Rubio said that reaching an agreement to cease hostilities could "take a few days," after both sides earlier indicated progress on a memorandum of understanding aimed at halting combat and resuming navigation through the Strait of Hormuz.

Markets are also awaiting statements from several policymakers at the Federal Reserve, including Vice Chair Philip Jefferson and Board Member Lisa Cook, to assess the impact of inflation on monetary policy trends in the upcoming period.

Investors are also monitoring the release of the US Personal Consumption Expenditures (PCE) index data for April tomorrow, Thursday, in search of new indicators regarding the direction of US monetary policy.