Rising oil prices and a stronger dollar weigh on gold as geopolitical tensions dim prospects for a U.S.-Iran agreement.
Gold futures slid to their lowest level in a week on Tuesday, pressured by fading hopes for a U.S.-Iran peace deal. The shift lifted the dollar and oil prices, stoking inflation fears and expectations of higher global interest rates.
The decline snapped a brief rally in precious metals, with silver also retreating after a five-session winning streak. Analysts noted that rising energy costs could further tighten monetary policy, reducing demand for non-yielding assets like gold.
Markets remain focused on geopolitical developments and their impact on commodity prices, with gold often serving as a hedge against uncertainty.