Gold prices fell 1.3% to $4,356 per ounce Tuesday as surging bond yields and stalled US-Iran talks dampened investor sentiment, though analysts remain bullish on longer-term prospects amid improving central bank demand and safe-haven appeal.
Oil prices rose after the US threatened Iran with a blockade and financial sanctions.
Gold flashes overbought signal after 103 sessions, potentially triggering a pullback.
Oil Prices Up More Than 3% as Fears of Renewed US-Iran Combat
Gold fell over 2% on July 13, 2026, despite US-Iran escalation closing the Strait of Hormuz, as a stronger dollar and rising Federal Reserve rate-hike expectations from elevated oil prices outweighed traditional safe-haven demand.
Oil volatility surged above 50, signaling heightened commodity market uncertainty that could reshape gold and silver prices through inflation expectations, interest rates, and geopolitical risks rather than triggering immediate stock market panic.
Oil refining margins hit record highs as geopolitical conflicts damaged multiple refineries globally and reduced crude supply, keeping gasoline and diesel prices elevated despite lower crude oil prices.
UAE grocery prices may not rise due to lower fuel costs and softer global food prices.
Vessel attacks near the Strait of Hormuz drove oil prices up, with Brent crude gaining 1.24 percent to $72.88 and U.S. crude rising 1.04 percent to $69.26, reviving geopolitical concerns about energy shipping disruptions.
Opec+ approved a fifth consecutive monthly production increase of 188,000 barrels per day, prioritizing market share over price support amid geopolitical tensions and rival producers' output gains.
OPEC+ increased production quotas by 188,000 barrels daily from August as Gulf shipping normalizes following Middle East conflict disruptions, gradually unwinding previous production cuts while oil prices decline amid improving supply expectations.
UAE motorists expect lower petrol prices in July after four consecutive monthly increases, as global oil prices fell from Middle East conflict highs of $106 to around $73 per barrel, though renewed US-Iran tensions may limit relief magnitude.
Oil prices fell to three-month lows as markets anticipated the US-Iran peace deal would reopen the Strait of Hormuz, with Brent crude dropping 5% to $78.96 a barrel, pressured by weakening Chinese demand and expectations of returning Iranian supplies.
The U.S.-Iran deal reopens the Strait of Hormuz but will not swiftly restore oil flows; Middle Eastern producers who shut 10 million barrels daily need months to ramp up wells to pre-closure levels, with Iraq potentially requiring a year.
Gold falls 2% as dollar rises ahead of crucial inflation report
Oil prices rose toward weekly gains as the Iran-U.S. conflict persisted, with Brent crude up 5.2% weekly and WTI up 10.5%, driven by Strait of Hormuz disruptions affecting roughly one-fifth of global oil and liquefied natural gas supplies amid stalled ceasefire negotiations.
OPEC+ plans to increase production by 188,000 barrels daily amid Iran conflict shutting the Strait of Hormuz, but analysts say geopolitical constraints will prevent meaningful oil price relief as global supplies plummet.
International gold prices rose 0.5% to $4,398.58 per troy ounce Monday, driven by a weaker US dollar and reduced Federal Reserve rate-hike expectations, with Bangladesh domestic 22-carat gold priced at Tk236,779 per bhori.
A U.S.-Iran stalemate over the Strait of Hormuz has kept oil traffic at two-month lows for five months, risking a supply tipping point by October that analysts warn could spike prices to $120-140 per barrel amid depleting global inventories.
Gold climbs back above $4,400 an ounce in late New York trading on Tuesday.
Diesel faces greater geopolitical supply vulnerability than other fuels due to its critical role in freight, agriculture, and industry, with supply constraints from Middle Eastern refineries and Russian export halts driving prices higher than crude oil benchmarks, analysts warn.
Gold prices held steady near $4,060 per ounce as softer US inflation data eased Federal Reserve rate hike concerns, offsetting earlier pressure from surging oil prices driven by geopolitical tensions in the Middle East.
Gold consolidates below $4,200 as liquidation wave slows, according to Saxo Bank.
China cut refining by a fifth and drew down stockpiles while increased US exports to global markets helped offset a 14 million barrel daily supply loss from Middle East conflict, causing crude prices to fall from $160 to $100-$110 per barrel despite unprecedented disruption.
Ship attacks near the Strait of Hormuz drove oil prices up, with Brent crude rising to $72.60 and WTI to $69.04 per barrel, reflecting renewed geopolitical risk amid U.S.-Iran tensions and potential maritime disruptions.
A Saxo Bank strategist suggests the worst of gold's selling may be over as the market shifts to consolidation.
Oil prices fell 1% to 4-month lows due to progress in US-Iran talks easing supply concerns.
OPEC+ plans to raise oil production quotas as Middle East tensions ease.
UAE petrol prices will likely drop in July following four consecutive monthly increases, as global oil prices fell to pre-war levels due to recovered Strait of Hormuz shipping traffic after Middle East conflict disruptions.
The U.S. and Iran agreed to reopen the Strait of Hormuz, causing oil prices to drop 5 percent while gold and silver surged 3 and 4.6 percent respectively as markets shifted focus from inflation concerns to potential interest rate cuts.
Silver prices fell for the fifth consecutive week despite a daily gain.
Reasons for the recent sharp drop in gold prices
OPEC+ ministers met virtually to approve approximately 188,000 barrels daily production increase amid Iran-linked Gulf disruptions that halved output to 33 million barrels daily, though analysts warn quota hikes offer limited relief while Strait of Hormuz closure persists.
Gold prices fell over 4% this week due to rising inflation concerns.
U.S. military strikes on Iran drove Brent crude up 2.5% as peace negotiations stalled, with Secretary of State Rubio indicating talks could take days, threatening to prolong shipping restrictions through the strategically critical Strait of Hormuz.
Gold climbed 0.6% to $4,395.80 per ounce as traders awaited US inflation data that could reshape Federal Reserve expectations, while central bank demand and Strait of Hormuz tensions supported the broader precious metals rally.
Money managers reduced bullish crude oil bets for a second consecutive week, cutting WTI net longs by 7,257 lots and Brent by 20,361 lots, signaling cautious sentiment despite ongoing geopolitical supply risks.
Five major banks revised gold forecasts for end-2026, with Goldman Sachs projecting $4,900 per ounce, citing central bank purchases and geopolitical risks offsetting near-term interest rate pressures in global markets.
US-Iran tensions caused Brent crude oil futures to shift into backwardation, with prompt contracts trading $8.92 above six-month contracts, signaling trader concerns about tightened Middle Eastern supplies and Strait of Hormuz shipping disruptions.
US-Iran missile exchanges lifted oil prices to $74 per barrel amid Middle East escalation, while markets showed resilience with stocks recovering and the dollar remaining steady as investors assessed limited broader economic impact.
Ship attacks near the Strait of Hormuz, a critical global oil transport route, pushed Brent crude up 61 cents to $72.60 per barrel Tuesday, with analysts warning potential escalation could drive prices toward $80 amid Iran-US tensions.
Oil prices surged over 2% Tuesday after vessel attacks near the Strait of Hormuz sparked geopolitical concerns, with Brent crude gaining $1.86 to $73.85 per barrel, reviving shipping disruption fears through this critical global energy transit route.
Gold prices may have found a floor as selling pressure eases and consolidation begins.
Oil prices fell after OPEC+ agreed to increase production and exports from the Gulf recovered.
Oil prices slide as Trump talks up US-Iran progress
Oil prices rose nearly 5-10% weekly as Iran-U.S. tensions persisted, with Tehran blocking the Strait of Hormuz and threatening retaliation while Washington considered renewed military strikes, disrupting approximately one-fifth of global oil and gas supplies.
OPEC+ ministers met Sunday to increase production quotas by 188,000 barrels daily to combat surging oil prices caused by Iran conflict blockading the Strait of Hormuz, though analysts say geopolitical constraints limit their practical impact on global markets.
Gold extends losses to more than 3% after crucial inflation report
UAE gold prices fell to a one-month low, with 24K gold dropping to Dh503.50 per gram.
OPEC+'s ability to control oil prices is weakened by the Iran conflict.