Commodities
Gold and Silver Rally as Oil Prices Fall Following U.S.-Iran Hostility Pause
Gold and silver prices rose on Monday as oil prices fell following a pause in U.S.-Iran hostilities. Spot gold was trading near $4,083.00 an ounce, up 0.77%, while spot silver was at $58.740, up 1.21%.
The move came after investors reduced their 'flight to safety' dollar exposure following the pause in hostilities, according to David Morrison, senior market analyst at Trade Nation. This helped trigger gains for both metals.
US interest rates remain a key macro risk for gold, with the FOMC decision due Wednesday. Fed funds pricing still shows a material risk of another hike this week, but expectations have eased from late Friday, keeping gold supported as Treasury yields retreat from last week's highs.