Gold plummets as Trump sends mixed signals on Iran war
Gold prices dropped sharply after US President Donald Trump’s primetime address provided little clarity on resolving the Middle East conflict.
Silver and other precious metals also declined, News.Az reports, citing Bloomberg.
Spot gold fell as much as 4.3%, ending a four-day winning streak, after Trump said the month-long war was nearing its conclusion but warned the US would hit Iran “extremely hard” over the next two to three weeks.
He added that military objectives had nearly been achieved and urged allies dependent on Middle Eastern oil to address the near-closure of the Strait of Hormuz.
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Equities fell, the US dollar rose 0.4%, and oil prices surged amid ongoing concerns over energy flows through the strategic waterway, previously responsible for about a fifth of global oil and LNG transit. Analysts noted that gold’s traditional haven appeal was muted as investors liquidated positions to cover losses elsewhere.
Spot gold was down 4.1% to $4,562.88 an ounce by 2:12 p.m. Singapore time. Silver dropped 7% to $69.86, while platinum and palladium also declined. The Bloomberg Dollar Spot Index rose 0.4%. Gold had suffered its worst monthly performance since October 2008, falling nearly 12% in March amid inflationary concerns from elevated oil prices.
By Nijat Babayev
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