XAU/USD climbs 1.24% to $4,102 as reduced geopolitical risks boost risk sentiment and weigh on oil markets.
Gold prices advanced early Monday, with XAU/USD trading at $4,102, up 1.24%, as a temporary pause in US-Iran hostilities eased geopolitical tensions. The shift improved risk appetite, pressuring oil prices lower.
The move follows a volatile period driven by escalating Middle East conflicts, which had previously supported safe-haven assets like gold. Analysts noted the pause in attacks reduced immediate supply disruption fears for oil, contributing to the metal’s gains.
Markets reacted swiftly, with gold extending its upward momentum while oil futures retreated from recent highs.