Global gold prices remained largely unchanged due to the ongoing standoff around the Strait of Hormuz, which maintains high inflationary risks. This was reported by Bloomberg, writes UNN.
Details
In early trading, gold was trading at around $4725 per ounce after a slight increase in the previous session.
The situation is related to the continuation of the ceasefire between the US and Iran, but tensions in the region persist. Both sides are effectively fighting for control over the Strait of Hormuz, a key route for energy transportation.
Shipping restrictions and shelling of commercial vessels are being recorded in the region, which increases risks to global energy security.
Inflationary pressure
The conflict, now in its eighth week, has caused a significant shock to energy supplies. This increases inflation risks and may force central banks to keep interest rates high for longer.
Against this backdrop, gold, which does not yield interest income, is under pressure and has lost about 10% since the start of the conflict.
Market dynamics
The spot price of gold fell by approximately 0.3% to $4727.65 per ounce.
Other precious metals also showed a decline: silver fell by 0.3%, and platinum and palladium also lost value.
Analysts note that the market remains unstable.
The precious metals market will remain cautious and volatile
Gold $4723 – prices stabilized after falling amid US truce with Iran22.04.26, 06:14