Gold prices moved little on Tuesday, holding just under all-time highs as investors continued to weigh rising geopolitical risks in Iran and growing concerns over political pressure on the U.S. Federal Reserve, while awaiting fresh inflation data from the United States later in the day.
Spot gold was steady at $4,588.9 an ounce at 01:08 ET (06:08 GMT), after surging to a record $4,629.4 an ounce in the previous session. U.S. gold futures for March slipped 0.4% to $4,596.81 an ounce.
Iran tensions and Fed pressure support safe-haven demand
The latest gains in bullion have been underpinned by escalating unrest in Iran, where widespread anti-government demonstrations and warnings from Washington of possible intervention have raised fears of broader regional instability, bolstering demand for safe-haven assets.
“Protests in Iran keep geopolitical tensions elevated, while President Trump has reiterated threats to take Greenland, bringing further upside to precious metals,” ING analysts said in a note.
Gold buying was also driven by turmoil in U.S. politics and monetary policy. The Trump administration has issued grand jury subpoenas to the Federal Reserve and launched a criminal investigation into Fed Chair Jerome Powell, centred on his June testimony to Congress regarding renovation costs at the central bank’s headquarters. The developments have intensified concerns about political interference and the Fed’s independence.
In a public statement, Powell described the subpoenas — and the threat of criminal charges — as “pretexts” intended to pressure the central bank into changing its interest-rate policy. He reiterated that the Fed remains committed to setting policy based on economic conditions rather than political considerations.
Markets are now focused on the release of the U.S. Consumer Price Index later on Tuesday, which is expected to offer further insight into whether the Federal Reserve could begin cutting interest rates in 2026.
Other metals ease after recent surges
Elsewhere in the metals market, silver remained close to record territory after hitting an all-time high in the previous session. On Tuesday, silver was little changed at $84.94 an ounce, having reached $86.22 an ounce on Monday.
Platinum prices retreated 1.4% to $2,310.09 an ounce, following gains of more than 3% a day earlier. Copper prices also edged lower, with benchmark London Metal Exchange futures down 0.6% at $13,089.20 a tonne and U.S. copper futures slipping 0.3% to $5.99 a pound.
Despite the modest pullback, copper prices remain close to the record highs seen last week after a strong start to the week.
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