XAU/USD declines amid stalled ceasefire negotiations and rising inflation fears ahead of key US nonfarm payrolls data.
Gold prices (XAU/USD) fell to near weekly lows during Friday’s Asian session as stalled US-Iran ceasefire talks and looming US employment data weighed on sentiment. The precious metal remains volatile amid geopolitical tensions and inflation concerns.
Iran’s Foreign Minister reported no tangible progress in negotiations, while US President Donald Trump claimed talks were in their final stages. Recent missile strikes and retaliatory actions have heightened supply shock fears, pushing bond yields higher and supporting the USD. Markets are now pricing in a potential Fed rate hike in late 2026.
Traders are closely watching May’s nonfarm payrolls report, which could further influence expectations for monetary policy and gold’s appeal as a non-yielding asset.