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2026.03.0306:19:27UTC+00Gold Edges Lower

Gold eased to about $5,300 per ounce on Tuesday, pausing after a four-session rally fueled by strong safe-haven demand amid escalating tensions in the Middle East. On Monday, President Trump warned that the US would continue striking Iran until it was no longer capable of posing a threat, suggesting the conflict could last a month or “far longer.” In response, Iran declared the Strait of Hormuz closed and threatened to attack any vessel attempting to pass through the key energy shipping route.

The heightened geopolitical risk sent oil prices sharply higher, amplifying concerns about inflationary pressures in the US. That, in turn, triggered a sell-off in Treasuries and dampened expectations for additional interest rate cuts by the Federal Reserve. Markets now see the next likely Fed rate cut occurring around September, later than previously anticipated.

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