Gold Prices Slip as Middle East Tensions Weigh on Market

Gold prices slipped on Monday due to market participants assessing developments in the Middle East and their implications for inflation and interest rates. The spot price of gold fell 0.3% to $4,362.60 per ounce by 0417 GMT after hitting a one-week high on Friday.

US gold futures were down 0.6% at $4,400.20, while oil prices declined due to hopes for diplomacy in the Iran war and partial recovery of shipments from Saudi Arabia. The Iranian military has warned it will retaliate harshly against any new attacks.

Tim Waterer, chief market analyst at KCM Trade, noted that 'the focus remains on geopolitics, oil, and the reaction in bond yields.' He added that 'gold may trade in a roughly $4,200 to $4,580 range in the near term.'