Gold Ticks Up Amid Rising Interest Rates and Iran-US Tensions

Gold prices edged higher on Tuesday after a 4% plunge the previous day as investors await fresh U.S. data, including personal consumption expenditures inflation and nonfarm payrolls reports.

The precious metal rose 0.9% to $4,153.57 an ounce by 09:33 ET (13:33 GMT), while platinum ticked up 0.4% to $4,186.55 an ounce.

The recent escalation of tensions between the U.S. and Iran has kept energy prices high, which in turn has reinforced expectations for further Federal Reserve rate hikes.

Analysts at ANZ noted that the near-term macroeconomic backdrop remains challenging for gold due to higher yields and inflation risks weighing on the metal.