Gold Prices Stall Amid Geopolitics, Hawkish Fed Bets
Gold prices have stalled at higher levels, struggling to sustain its recent rebound around $4,350. The price action is being influenced by geopolitics and speeches from US Federal Reserve officials.
A sharp pullback in US Treasury bond yields helped Gold's early rebound, but renewed buying interest in Oil prices and inflation fears are weighing on the metal's uptick.
The Middle East conflict is driving up Oil prices for the first time in five trading days, countering diplomatic efforts and the resumption of oil flows through the Strait of Hormuz. President Masoud Pezeshkian will lead an Iranian delegation at the United Nations General Assembly in New York on Tuesday, rekindling hopes for diplomacy.
Hawkish Fed bets remain in play, tempering any upside attempts in Gold so far this week, despite renewed weakness in the US Dollar.