Gold Prices Rise Amid De-Escalation Hopes Ahead of FOMC Decision

Gold prices opened higher this week on hopes of de-escalation in the US-Iran conflict. The US halted its strikes after 13 days and Iran said it would maintain a ceasefire as long as the US remained paused.

This development has led to some optimism among traders, who see it as an early sign of potential de-escalation. However, they will continue to monitor headlines closely, as things can quickly escalate again with just one tweet from Trump.

The Federal Reserve's FOMC rate decision on Wednesday is also expected to have a significant impact on gold prices. The Fed is likely to hold interest rates steady following soft US inflation data. With no forward guidance expected from Fed Chair Powell, economic data will remain the deciding factor for future meetings.