Gold prices moved higher in Asian trading on Tuesday, pushing back above the $5,000-per-ounce threshold as investors tracked developments in the U.S.-Israel conflict involving Iran, movements in oil markets and several central bank policy meetings scheduled for this week.
The precious metal had briefly dipped below $5,000 per ounce in the previous session. However, it rebounded as a decline in oil prices helped ease some concerns that the conflict could trigger stronger inflationary pressures.
Spot gold rose 0.6% to $5,035.62 per ounce by 01:26 ET (05:26 GMT), while gold futures increased 0.8% to $5,039.94 per ounce.
Gold holds steady within recent range amid geopolitical uncertainty
Despite the latest gains, gold continued to trade within the $5,000 to $5,200 per ounce band that has dominated price action for roughly the past three weeks, reflecting mixed signals from the evolving situation in Iran.
Demand for safe-haven assets provided support for bullion, though the rally was tempered by fears that the conflict could push global inflation higher.
Other precious metals also advanced during the session. Spot platinum climbed 1.9% to $2,156.27 per ounce, while spot silver gained 1% to $81.785 per ounce.
However, like gold, both metals have mostly traded sideways since pulling back from record highs reached in late January.
Central bank meetings take centre stage
Investors are also closely watching a series of central bank meetings taking place this week, with the Federal Reserve’s policy announcement on Wednesday drawing the greatest attention. The Fed is broadly expected to keep interest rates unchanged as policymakers assess the potential inflationary impact of the Iran conflict.
The Bank of Canada is also scheduled to meet on Wednesday, while the Bank of Japan, Swiss National Bank, Bank of England and the European Central Bank will announce their interest rate decisions on Thursday.
Market participants are focusing particularly on inflation trends and the outlook for monetary policy, especially as rising energy prices linked to the Iran conflict could influence central bank decisions.
There are increasing concerns that a surge in oil-driven inflation could prompt central banks to adopt a more hawkish stance, potentially keeping borrowing costs elevated for longer.
Higher interest rates generally weigh on non-yielding assets such as gold because they reduce the opportunity cost of holding cash or interest-bearing securities. Much of gold’s rally earlier in 2026—which pushed the metal to record highs near $5,600 per ounce—was fueled by expectations that interest rates would fall during the year.
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