Gold prices gained on Thursday as investors assessed renewed expectations for a resolution to the U.S.-Israeli war with Iran.<\/p>\n
Shannon Stapleton | Reuters<\/p>\n
Gold prices gained on Thursday, supported by lower crude\u00a0oil\u00a0prices and a weaker dollar, as investors assessed renewed expectations for a resolution to the U.S.-Israeli war\u00a0with Iran.<\/p>\n
Spot gold<\/a>\u00a0was up 0.7%\u00a0at $4,461.09\u00a0per ounce, as of 0218\u00a0GMT. U.S. gold futures<\/a>\u00a0for August delivery gained 0.5%\u00a0to $4,487.90.<\/p>\n The dollar eased, making greenback-priced bullion more affordable for holders of other currencies.<\/p>\n “Gold’s gains are still very much at the mercy of\u00a0oil\u00a0and the dollar. It only moves higher when they pull back, making it highly dependent on positive U.S.-Iran headlines for any sustained momentum,” said Tim Waterer, chief market analyst at KCM Trade.<\/p>\n Israel and Lebanon agreed to implement a\u00a0ceasefire\u00a0to end hostilities, the Trump administration said on Wednesday, boosting hopes for a broader deal to end the Iran conflict.<\/p>\n The Republican-led U.S. House of Representatives approved a resolution on Wednesday to block U.S. President Donald Trump from\u00a0continuing\u00a0the war against Iran, reflecting growing concern among members of his party about the three-month-old conflict.<\/p>\n Oil\u00a0prices eased in early trade on Thursday, as the ceasefire between Lebanon and Israel boosted hopes of a U.S.-Iran peace deal.<\/p>\n Elevated\u00a0oil\u00a0prices\u00a0can accelerate inflation and keep interest rates higher for longer. While gold is seen as a hedge against inflation, higher rates tend to weigh on the non-yielding metal.<\/p>\n New York Federal Reserve<\/a> President John Williams noted that he does not expect upside risks to inflation caused by the war in the Middle East to be\u00a0long-lasting\u00a0and reiterated there was no need at this time to change U.S. monetary policy.<\/p>\n “I don’t think we’ve seen the end of the bull run, but it is clearly time for a shakeout in general. So I anticipate choppy trade as we head into the year end, with a slight upwards bias of around $5,000,” said Matt Simpson, a senior analyst at StoneX.<\/p>\n Spot silver<\/a>\u00a0rose 0.6%\u00a0to $73.13\u00a0per ounce, platinum<\/a>\u00a0gained 0.7%\u00a0to $1,872.11, and palladium<\/a>\u00a0added 0.9%\u00a0to $1,313.51.<\/p>\n