(RTTNews) – Gold prices are roughly flat on Monday following U.S. President Donald Trump’s halting of an Israel-Iran re-escalation and his reassurance on an imminent U.S.-Iran peace deal. However, the ongoing delay in reopening of the Strait of Hormuz weighed on gold prices.
Front Month Comex Gold for August month delivery has edge down by $2.50 (or 0.06%) to $4,362.80 per troy ounce.
Front Month Comex Silver for August month delivery has dipped by $0.443 (or 0.64%) to $68.930 per troy ounce.
The U.S.-Israel war against Iran entered day number 101 today.
Over the past couple of weeks, negotiators from the U.S. and Iran held rounds of talks sending draft proposals for each other to review.
The prospect of an imminent deal increased following several assuring messages from Trump.
Meanwhile last Wednesday, after two days of negotiations mediated by the U.S., Israel and Lebanon agreed to a ceasefire.
On Sunday, Iran carried out a series of missile attacks (nearly 11) in northern Israel in response to the Israeli military assault conducted by Israel in southern Lebanon, targeting Hezbollah militants.
Iran’s Islamic Revolutionary Guards Corps confirmed targeting Israel’s Ramat David Airbase.
Shortly after Iran’s attack, U.S. President Donald Trump insisted that the U.S. called the shots.
While talking to Fox News and in an interview with Channel 12, Trump stated that he will talk to Israeli Prime Minister Benjamin Netanyahu and ask him not to hit back since the Iranian strikes resulted in no casualties.
Trump stated that the U.S. was on the verge of closing a deal with Iran that he did not want to be disrupted due to a renewed Israel-Iran military offensive.
The Israeli Air Force announced conducting strikes in western and central Iran.
Citing U.S. and Israeli officials, Axios reported that Trump had urged Netanyahu not to retaliate further.
Trump publicly opposed the attacks and demanded that both Israel and Iran immediately stop shooting each other.
Concerns of U.S.-Iran negotiations collapsing before reaching any deal due to the mutual military offensive between Israel and Iran pushed oil prices higher and consequently, the yellow metal edged lower.
Later, Reuters reported quoting Channel 12 that Israel paused its attacks on Iran at Trump’s request. The New York Times confirmed the report.
In a Truth Social post, Trump stated that Israel and Iran have agreed to a ceasefire and added that U.S.-Iran negotiations are in the final stage.
Trump expected things to move quickly but refused to lift the blockade on ships entering or exiting Iranian ports until an agreement is reached.
On Friday, the U.S. Bureau of Labor Statistics revealed that the economy added 172,000 jobs in May, well above forecasts of 85,000, following an upwardly revised 179,000 gain over the previous month.
The unemployment rate remained at 4.30% in May, in line with market expectations.
The number of unemployed, decreased by 66,000 to 7,310,000 while total employment increased by 149,000 to 162,770,000.
Investors are awaiting the U.S. Consumer Price Index and Producer Price reports to be released on Wednesday and Thursday, respectively, to gather further clues on the Fed’s monetary policy outlook.
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