Gold Surges Amid Oil Price Drop, Easing Inflation Fears
Gold prices have continued their upward trend, rising for the second consecutive day to around $4,103 per troy ounce during Asian hours on Monday. The surge in gold comes as oil prices plummeted, easing market fears of inflation and interest rate hikes.
The decline in oil prices has provided a welcome respite after a weekend of heightened tensions between the US and Iran. While the diplomatic landscape remains uncertain, a senior Iranian official noted that Tehran's policy remains 'attack for attack', implying a suspension of military operations if the US halts its strikes.
Market participants are now bracing themselves for a busy week ahead, with central bank decisions from major institutions such as the Federal Reserve, Bank of England, and Bank of Japan set to influence global interest rate expectations. Additionally, key releases on inflation and growth figures will be closely watched by investors.