Gold prices continued their downward trend in Asian trading on Tuesday, marking a tenth consecutive session of declines after Iran rejected claims that it had engaged in discussions with the United States following President Donald Trump’s decision to delay further strikes on Iran’s energy infrastructure.
Spot gold was down 0.7% at $4,376.04 an ounce by 02:46 ET (06:46 GMT), while U.S. gold futures fell 0.6% to $4,413.59.
In the previous session, the precious metal had dropped to a four-month low before recovering slightly, though it still finished the day around 2% lower.
Middle East attacks continue despite Trump’s negotiation claims
On Monday, President Trump postponed a planned strike on Iran’s electricity grid, saying the move followed “very good and productive” discussions with unnamed Iranian officials.
The decision to delay further military action helped ease tensions across financial markets and triggered a sharp decline in oil prices, which allowed gold to recoup part of its earlier losses during the previous session.
However, Iran’s parliamentary speaker, Mohammad Baqer Qalibaf, later stated on social media that no such talks had taken place, adding to the uncertainty surrounding the situation.
Meanwhile, the Israeli military reported Tuesday that Iran had launched several waves of missiles toward Israel, underscoring that the conflict shows no clear signs of easing.
Gold remained under pressure as investors also kept their attention on the broader economic outlook, particularly expectations surrounding future interest rate policy.
Despite its traditional reputation as a safe-haven asset during geopolitical turmoil, the metal has struggled to attract sustained demand.
Precious metals pressured by strong dollar and Fed outlook
Gold has faced persistent selling pressure in recent sessions as rising energy prices have intensified fears that inflation could remain elevated.
This has prompted markets to dial back expectations of monetary easing, with investors increasingly anticipating that central banks — including the Federal Reserve — will keep interest rates higher for longer.
Higher interest rates generally weigh on gold because the metal does not provide yield, making income-generating assets such as government bonds more attractive by comparison.
The U.S. Dollar Index rose 0.4% in early Tuesday trading.
Among other precious metals, silver declined 0.4% to $68.91 an ounce, while platinum slipped 0.3% to $1,883.05 an ounce.
Copper prices also moved lower. Benchmark copper futures on the London Metal Exchange dropped 1.4% to $12,022.33 per ton, while U.S. copper futures fell 1.3% to $5.41 per pound.
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