𝗚𝗼𝗹𝗱 𝗣𝗿𝗶𝗰𝗲 𝗢𝘂𝘁𝗹𝗼𝗼𝗸 𝗝𝘂𝗻𝗲 𝟮𝟬𝟮𝟲
Spot gold rose 3.24% to $4356 on Monday. The price increased following a tentative agreement between the US and Iran to end Middle East conflict. The signing of the Memorandum of Understanding is set for June 19 in Geneva, Switzerland.
Key developments regarding the US-Iran agreement:
- Iran will open the Strait of Hormuz within thirty days.
- The US will lift its blockade of Iran.
- Israel will stop fighting in Lebanon.
- Iran and Oman will manage traffic in the Strait.
- A $300 billion reconstruction fund for Iran is part of the draft.
Oil and currency market impacts:
- Brent Crude prices fell 5% to $82.
- The US Dollar Index fell to 99.58.
- Two-year US yields dropped to 4.03%.
- Ten-year US yields fell to 4.45%.
- The Indian Rupee rose to 94.30 against the US Dollar.
Gold market data:
- Gold rose 8.25% from the June 11 low of $4024.
- Global gold ETF holdings fell for the fifth straight day to 97.33 MOz.
- COMEX gold inventory stands at 15.42 MOz.
- India gold imports decreased from $5.62 billion in April to $3.42 billion in May.
Upcoming economic events:
- US housing starts report on June 16.
- China retail sales and industrial production data on June 16.
- Bank of Japan rate decision on June 16.
- US Federal Reserve monetary policy decision on June 17.
- Eurozone and UK CPI data on June 17.
- Bank of England rate decision on June 18.
Gold price targets:
- Short-term resistance levels sit at $4430 to $4450.
- Support levels are at $4300 and $4250.
- A dovish Federal Reserve could move prices toward $4580 to $4600.
Source: The Times of India