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- Gold Moves Higher Amid Weaker Dollar and Easing Inflation Co...
Gold Moves Higher Amid Weaker Dollar and Easing Inflation Concerns
Gold moved higher toward $4,800 on Tuesday, reaching its strongest level since mid-March as a softer dollar supported prices. The shift came as progress in US-Iran discussions reduced pressure on oil, helping calm inflation concerns.
Even though recent talks did not produce a final agreement and tensions remain around key trade routes, signals of continued negotiations have kept market sentiment relatively stable.
The dollar weakened to a monthly low, while oil prices pulled back on expectations of a possible longer-term resolution, easing fears of prolonged inflation and aggressive rate hikes.
Traders are now factoring in around a 30% probability of a Federal Reserve rate cut this year.
Despite the recent strength, gold is still trading below its pre-conflict levels, showing that the broader recovery is not fully complete.