XAU/USD climbs to $4,681 as US imposes sanctions on Iran-linked entities, boosting safe-haven flows ahead of Fed remarks.
Gold prices surged to a three-month high of $4,681 as the US Treasury announced sanctions on nearly 60 Iran-linked entities, targeting sectors including digital assets, technology, and gold. The XAU/USD pair traded at $4,631, up 0.62%, supported by lower yields and geopolitical tensions.
Bullion turned bullish after breaking its 200-day Simple Moving Average at $4,516 last week, though further gains hinge on clearing the May 7 high of $4,764. The sanctions, part of the ‘Outcast’ operation, aim to disrupt funding for Iran’s Islamic Revolutionary Guard Corps.
Investors are also awaiting remarks from Fed Chair Kevin Warsh at the Jackson Hole symposium on Friday, which could influence market sentiment and gold’s trajectory.