Tensions Send Gold Soaring Near $4,403 Amid Iran Crisis
Gold prices are near $4,403 as tensions between the US and Iran escalate. Spot gold traded at around $4,417.87, up 1.46%, while silver was at $67.37, up 2.46%. The surge in oil prices to over $100 a barrel has not dampened demand for safe-haven assets.
The US dollar weakened against major currencies, making gold and silver cheaper for buyers holding other currencies. However, Treasury yields stayed elevated, with the 10-year yield near 4.81%, its highest level since October 25, 2023, a headwind that usually pressures non-yielding assets like gold and silver.
The setup for metals is mixed, according to analysts. Higher crude prices and higher yields typically weigh on gold and silver, but the weaker dollar, safe-haven demand, and uncertainty over Gulf oil supply are offsetting that pressure.