XAU/USD rises 0.58% as falling Treasury yields and reduced geopolitical tensions boost demand for bullion.
Gold prices climbed 0.58% to approach $4,070 as falling US Treasury yields and easing tensions between Washington and Tehran supported bullion. The pause in attacks and signals of potential negotiations from US President Donald Trump improved market sentiment.
Earlier, XAU/USD hovered near $4,050, a level that could trigger further downside if breached. Markets also reacted to weaker-than-expected US Durable Goods Orders in June, while focus shifts to the Federal Reserve’s upcoming policy decision on Wednesday.
Money markets currently price a 60% chance of unchanged rates and a 40% probability of a 25-basis-point hike, with Thursday’s GDP data also in focus.