Gold Gains Momentum

Gold Gains Momentum as US-Iran Peace Deal Boosts Market Sentiment

Gold prices climbed to their highest level in a week during early European trading on Monday, rebounding after the United States and Iran reached a preliminary peace agreement aimed at ending their prolonged conflict. The development eased concerns over inflation and the prospect of higher interest rates, providing fresh support for the precious metal.

XAU/USD Technical Outlook Remains Bearish

On the daily chart, XAU/USD was trading at $4,326.30. Despite the recent rebound, the precious metal continues to maintain a short-term bearish bias, with spot prices remaining below the 21-day, 50-day, 100-day, and 200-day Simple Moving Averages (SMAs).

The clustering of these moving averages well above current prices suggests that the latest rally may represent a corrective bounce within a broader downtrend. Meanwhile, the Relative Strength Index (RSI) remains near 44, indicating moderate negative momentum rather than a fully oversold condition.

On the upside, initial resistance is located near the 21-day SMA at $4,421, followed by the 200-day SMA around $4,454, where the first significant supply zone is expected to emerge. Further resistance levels are seen at the 50-day SMA near $4,581 and the 100-day SMA around $4,762. A sustained move above these levels would be required to weaken the prevailing bearish technical structure.

Fundamental Overview

The nearly four-month conflict between the United States and Iran appears to be nearing an end after both sides announced a preliminary peace agreement on Sunday. The deal is expected to take effect on Friday, June 19.

U.S. President Donald Trump stated that the agreement would ultimately ensure the Strait of Hormuz remains permanently open to global shipping, according to reports published by The New York Times.

However, Trump also warned that military action against Tehran could resume if Iran fails to reach a final nuclear agreement with Washington. He added that the United States could assume a broader security role in the Middle East in exchange for a share of regional revenues.

Meanwhile, Iranian Deputy Foreign Minister Kazem Gharibabadi emphasized that a permanent and immediate end to hostilities had been declared across multiple fronts, including Lebanon.

Asian equities rallied sharply as renewed geopolitical optimism improved risk sentiment across global markets. Investors moved away from the U.S. dollar, traditionally viewed as a safe-haven asset, in search of higher-yielding opportunities, providing additional support for USD-denominated gold prices.

Gold also benefited from declining oil prices following the agreement to reopen the Strait of Hormuz. Lower energy prices helped ease inflation concerns and reduced expectations for additional interest rate hikes by the Federal Reserve.

A softer outlook for monetary tightening generally favors non-yielding assets such as gold, enhancing the metal’s appeal among investors.

Nevertheless, questions remain regarding the sustainability of gold’s recovery. Several key details of the peace agreement have yet to be clarified, particularly those related to the reopening and long-term security of the Strait of Hormuz.

In addition, any renewed military escalation involving Israel and Lebanon could threaten the fragile peace framework. Investors may also choose to reduce recently established long positions ahead of the Federal Reserve’s highly anticipated two-day policy meeting, which begins on Tuesday under new Fed Chair Kevin Warsh.

With technical indicators still pointing to a bearish short-term trend, gold remains vulnerable to renewed downside pressure despite the latest recovery. 

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Gold Holds Firm

Gold Price Holds Above $4,200 as Bearish Bias Persists Amid US-Iran Risks

Gold prices recovered from modest intraday losses and traded near flat during the first half of the European session, although the precious metal remained below its daily peak. Despite ongoing uncertainty surrounding a potential US-Iran peace agreement, improving market sentiment failed to provide sustained support for the US Dollar. This development helped limit downside pressure on gold and offered short-term support to the commodity.

From a technical perspective, gold continues to maintain a bearish near-term outlook while trading below the 200-day Simple Moving Average (SMA). Furthermore, Friday’s rejection near the 23.6% Fibonacci retracement level of the decline from April’s monthly swing high suggests that the recent rebound may still be largely driven by short-covering activity rather than a genuine trend reversal.

Technical indicators continue to favor sellers. The Moving Average Convergence Divergence (MACD) remains in negative territory, with the MACD line trading below its signal line and the histogram staying below zero. Meanwhile, the Relative Strength Index (RSI) remains in the mid-30s, indicating that bearish momentum remains intact despite the recent recovery from multi-month lows.

On the upside, immediate resistance is located near the 23.6% Fibonacci retracement level around $4,229, followed by the 38.2% retracement zone near $4,355. Stronger resistance is seen around the 200-day SMA at $4,450 and the nearby 50% retracement level at $4,456. A break above these levels could open the door toward the 61.8% retracement at $4,558 and the 78.6% retracement near $4,703, potentially paving the way for a retest of the cycle high around $4,887.

On the downside, key support remains at the recent swing low near $4,026. A decisive break below this level could signal the beginning of a deeper corrective decline for XAU/USD.

US-Iran Uncertainty and Fed Expectations Weigh on Gold

Mixed signals surrounding a possible US-Iran peace agreement, combined with growing expectations of a hawkish Federal Reserve, continue to support the US Dollar and may limit gains for the non-yielding yellow metal.

US President Donald Trump stated on Thursday that an agreement with Iran had been reached and that a final document could be signed as early as this weekend. However, optimism quickly faded after Iranian officials denied that any final decision had been made regarding the proposed deal.

Adding to the uncertainty, reports indicated that Iran’s new Supreme Leader, Mojtaba Khamenei, has not yet approved the US-backed peace proposal. Iran’s Foreign Ministry also reportedly stated that several key issues, including access through the Strait of Hormuz and the release of frozen assets, remain unresolved.

Geopolitical tensions remain elevated after Iranian forces reportedly stopped a tanker transiting the strategic waterway without prior coordination. Meanwhile, reports suggested that US forces intercepted and destroyed two Iranian one-way attack drones near the Strait of Hormuz.

These developments have kept geopolitical risk premiums in place and contributed to a moderate rebound in crude oil prices, raising concerns about renewed inflationary pressures. This comes as recent US economic data points to a resurgence in inflation, strengthening the case for higher interest rates for a longer period.

Both the US Consumer Price Index (CPI) and Producer Price Index (PPI) released this week signaled renewed inflationary pressures, reinforcing market expectations that the Federal Reserve could raise borrowing costs again later this year. The outlook has provided additional support for the Greenback while weighing on gold prices.

Nevertheless, traders appear reluctant to place aggressive bearish bets on XAU/USD ahead of further developments in the Middle East. Even so, gold remains on track to post a significant loss for a second consecutive week as investors balance geopolitical risks against expectations of tighter US monetary policy.

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Gold Prices Rise

Gold Prices Edge Higher as Oil Retreats and Inflation Concerns Ease Amid U.S.-Iran Peace Talks

Gold prices moved slightly higher on Thursday as crude oil prices softened amid reports of ongoing U.S.-Iran peace negotiations, helping ease concerns over energy-driven inflation and the prospect of further central bank interest rate hikes.

Investors continue to monitor geopolitical developments in the Middle East, with signs of diplomatic progress between Washington and Tehran reducing demand for traditional safe-haven assets.

As of 16:29 WIB, spot gold rose 0.2% to $4,079.70 per troy ounce, recovering from its lowest level in more than six months reached earlier in the session. Meanwhile, gold futures declined 0.8% to $4,100.65 per troy ounce.

U.S.-Iran Negotiations Offer Hope for De-escalation

According to reports, the United States and Iran continued discussions on a potential peace agreement overnight despite both sides exchanging retaliatory airstrikes for a second consecutive day.

Sources cited by Reuters indicated that Washington and Tehran are negotiating a preliminary framework that could include mechanisms to release frozen Iranian assets. Efforts to secure a diplomatic breakthrough have reportedly intensified in recent days.

However, uncertainty remains elevated. U.S. President Donald Trump warned that additional actions could be taken against Iran if the country fails to accept a peace agreement in the near future.

Military Escalation Continues Despite Diplomatic Efforts

The U.S. Central Command (CENTCOM) confirmed that American forces struck several military targets in Iran late Wednesday and early Thursday, describing the operation as an act of self-defense following the downing of a U.S. helicopter near the Strait of Hormuz earlier this week.

Iran responded with attacks targeting several U.S. and allied military installations across the Gulf region. Unconfirmed media reports suggested explosions were heard in Kuwait, Bahrain, and Jordan. Tehran also claimed to have blocked all maritime traffic through the Strait of Hormuz, although CENTCOM rejected those claims.

The latest escalation follows two weeks of military exchanges between the United States and Iran amid broader regional tensions. Iran has also been involved in ongoing hostilities with Israel related to Israel's operations against Iran-backed Hezbollah forces in Lebanon.

Oil Prices Pull Back, Reducing Inflation Fears

Global benchmark Brent crude futures edged lower on Thursday, giving back part of the gains recorded after recent military strikes. Although oil prices remain significantly above pre-conflict levels, they have retreated from recent highs.

Rising crude oil costs have fueled concerns that inflation could accelerate, potentially prompting major central banks, including the U.S. Federal Reserve and the European Central Bank (ECB), to maintain a tighter monetary policy stance.

Higher interest rates are generally viewed as negative for gold because the precious metal does not generate interest income.

Markets Await Key U.S. Inflation Data

Economic data released on Wednesday showed U.S. consumer prices rising at the fastest pace in years, largely driven by higher gasoline prices. Investors are now awaiting U.S. Producer Price Index (PPI) data for additional clues about inflation trends.

Market expectations currently suggest that the Federal Reserve could raise borrowing costs before the end of 2026, according to the CME FedWatch Tool. Meanwhile, the ECB is widely expected to deliver another interest rate increase at the conclusion of its two-day policy meeting as officials continue efforts to curb inflation across the Eurozone.

Stronger U.S. Dollar Limits Gold's Upside

The U.S. dollar has strengthened since the conflict intensified in late February, making gold more expensive for overseas buyers and limiting potential gains in bullion prices.

On Thursday, the U.S. Dollar Index was last trading 0.1% higher at 100.09, adding further pressure on precious metals markets.

Gold Outlook

Gold prices remain caught between competing forces. While geopolitical tensions continue to support safe-haven demand, easing oil prices, a stronger U.S. dollar, and expectations of higher interest rates may limit further upside in the near term. Investors will closely monitor developments in U.S.-Iran negotiations and upcoming inflation data for fresh direction.

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Gold Breaks Down

 

Gold Falls Below $4,200 Amid Rising US-Iran Tensions Ahead of US CPI Data

Gold prices extended their recent bearish momentum, falling below the psychologically important $4,200 level during the Asian trading session after breaking beneath the technically significant 200-day Simple Moving Average (SMA). The precious metal also touched its lowest level since March 23 as rising geopolitical tensions between the United States and Iran fueled inflation concerns and strengthened expectations of more hawkish central bank policies.

Crude Oil prices climbed following the escalation of hostilities between the US and Iran, raising fears of persistent inflationary pressures driven by higher energy costs. The growing risk of prolonged inflation has increased market expectations that major central banks, including the Federal Reserve, may maintain tighter monetary policy for longer.

Gold Technical Analysis Signals Further Downside

From a technical perspective, the latest decline confirms a fresh breakdown below a descending channel that has been forming since the April swing high. In addition, gold remains below the 200-day SMA, reinforcing the short-term bearish outlook and increasing the possibility of deeper losses.

The daily Relative Strength Index (RSI 14) is hovering near 28, indicating oversold conditions, while the Moving Average Convergence Divergence (MACD) remains deeply in negative territory, highlighting strong bearish momentum. This setup leaves gold vulnerable to additional downside pressure, with the next major support seen near the March swing low around the $4,100 level.

On the upside, immediate resistance is located near the former channel support at approximately $4,238, followed by the 200-day SMA around $4,444. A sustained recovery above this level could ease broader bearish pressure and potentially push gold prices higher toward the upper boundary of the descending channel near $4,546 and the previous swing reference around $4,634.

US-Iran Conflict Supports Oil Prices and Inflation Fears

The United States launched what it described as self-defense strikes against Iran on Tuesday in response to the crash of a US Apache helicopter near the Strait of Hormuz. In retaliation, Iran’s Islamic Revolutionary Guard Corps (IRGC) claimed responsibility for targeting an airbase in Jordan housing US troops, as well as military facilities in Kuwait and Bahrain. Iran also warned of a “stronger response” if US aggression continues.

Iranian Foreign Minister Abbas Araghchi stated that the country’s armed forces would not leave attacks or threats unanswered and warned the US to leave the region or face consequences. These developments have kept geopolitical risk premiums elevated and helped Crude Oil prices remain above the two-month lows reached earlier this week.

Fed Rate Hike Bets Weigh on Gold Prices

According to the CME Group FedWatch Tool, traders are now pricing in nearly a 75% probability that the Federal Reserve could raise interest rates again before the end of the year due to persistent inflation concerns linked to higher energy prices.

However, US Dollar buyers remain cautious ahead of the release of the latest US Consumer Price Index (CPI) report. The inflation data is expected to play a crucial role in shaping market expectations regarding the future path of Federal Reserve policy, which could significantly influence both the US Dollar and Gold prices in the near term.

For now, the broader fundamental backdrop continues to favor downside risks for gold as investors weigh geopolitical uncertainty, rising oil prices, and expectations of tighter monetary policy.

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Gold Awaits Inflation

 

Gold Prices Hold Steady as Investors Watch US Inflation Data and Middle East Tensions

Gold prices remained stable on Tuesday (June 9) despite easing geopolitical tensions in the Middle East, while investors continued to monitor the outlook for U.S. interest rates and upcoming inflation data.

For gold investors, market attention is now focused not only on global conflicts but also on the future direction of the Federal Reserve’s monetary policy.

According to a Reuters report published on Tuesday, June 9, 2026, spot gold prices edged up 0.1% to US$4,333.91 per troy ounce.

With the rupiah exchange rate assumed at Rp18,150 per U.S. dollar, the price is equivalent to approximately Rp78.65 million per troy ounce.

Reuters noted that gold price movement remained limited after the precious metal touched its lowest level in more than two months during the previous trading session.

Gold Prices Still Driven by Global Uncertainty

Developments in the Middle East continue to play a major role in shaping market sentiment toward gold prices.

Iran and Israel have reportedly halted attacks following mediation efforts from the United States. However, investors remain cautious as markets are not fully convinced that the situation will remain stable over the long term.

Concerns over the potential return of geopolitical conflict have encouraged some investors to maintain gold as a safe-haven asset and portfolio hedge.

At the same time, easing geopolitical risks have reduced part of gold’s safe-haven appeal, limiting the metal’s upside momentum.

Inflation and Interest Rates Become Key Drivers

Beyond geopolitical concerns, investor focus has shifted toward upcoming U.S. inflation data.

Markets are closely awaiting the U.S. Consumer Price Index (CPI) report, which is expected to provide fresh clues regarding the Federal Reserve’s next policy move.

If inflation remains elevated, the possibility of higher interest rates for longer — or even additional rate hikes — could increase significantly.

Such conditions typically create headwinds for gold prices because:

• Bond yields become more attractive.

• The U.S. dollar tends to strengthen.

• The opportunity cost of holding non-yielding assets like gold increases.

Reuters also reported that Goldman Sachs expects the Federal Reserve to keep interest rates unchanged through 2026, with potential rate cuts only beginning in 2027.

Gold Price Outlook

Strong demand from global central banks, ongoing geopolitical uncertainty, and concerns over slowing economic growth continue to support gold’s long-term appeal as a strategic diversification asset.

However, the short-term outlook for gold prices will likely depend heavily on inflation trends, U.S. dollar performance, and Treasury yields.

Overall, the latest market developments suggest that gold prices remain in a consolidation phase.

For investors regularly monitoring gold prices today, the market’s primary focus is no longer solely on Middle East tensions, but also on U.S. inflation data and future Federal Reserve policy signals.

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Gold Rally Catalysts

Gold Needs These 3 Catalysts to Rally Again

Gold prices slipped to their lowest level in several weeks as the precious metal continues to struggle for direction amid a macroeconomic environment dominated by high real yields, a strong US dollar, and shifting inflation expectations.

XAU/USD fell 0.9% today and traded below the $4,300 level, while Gold Futures declined as much as 1.2%.

“We expect the next support level to be around $4,000,” Yardeni said in a recent note.

The latest decline reflects market conditions where safe-haven demand is not strong enough to offset pressure from tighter financial conditions and ongoing uncertainty surrounding the policy direction of major central banks.

Jefferies analyst Fahad Tariq argued that although gold has significantly lagged behind other commodities this year, its long-term structural outlook remains intact. The brokerage highlighted a clear performance divergence, with Copper Futures gaining around 15.6% year-to-date, compared to gold’s modest 3.5% increase.

Copper has been supported by strong US industrial demand, supply scarcity, and concerns over supply security. Meanwhile, gold has underperformed despite its traditional role as a hedge against inflation and currency depreciation.

Gold’s short-term weakness is largely tied to macroeconomic headwinds. Higher US interest rates and expectations that monetary policy will remain restrictive for longer have reduced the appeal of non-yielding assets. At the same time, rising oil prices have complicated the inflation outlook, making central banks more cautious about signaling early policy easing. A resilient US dollar has added further pressure by making gold more expensive for overseas buyers.

XAU/USD Outlook

Looking ahead, Jefferies maintained its constructive long-term outlook, keeping its 2027 gold price forecast unchanged at $5,200 per ounce. However, the firm emphasized that a stronger rally will require a major shift in macroeconomic conditions rather than gradual improvements in fund flows or market sentiment.

Three key catalysts stand out as essential conditions for gold to rebound.

First, an official resolution to the US-Iran conflict would reduce geopolitical risk premiums and help stabilize energy markets.

Second, lower oil prices would ease inflationary pressure and improve the outlook for monetary policy easing.

Third, a credible pivot toward lower interest rates by major central banks would reduce real yields and restore gold’s relative attractiveness.

Until these catalysts emerge, gold is likely to remain trapped in a narrow trading range, with macroeconomic headwinds continuing to outweigh its long-term structural support.

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