Gold Prices Decline Amid U.S.-Iran Progress and Stronger Dollar

On Tuesday, gold prices tumbled more than 2% in response to progress in U.S.-Iran negotiations, dampening demand for safe-haven assets, while a rising dollar compounded selling pressures.

Spot gold decreased by 2.2%, settling at $4,884.46 per ounce, and U.S. gold futures for April plunged 2.8% to $4,905.90 per ounce. A 0.3% uptick in the U.S. dollar index further prompted gold’s decline as it increased bullion costs for overseas buyers.

Iran and the U.S. agreed on basic 'guiding principles' to address their nuclear disagreement, though a deal is not imminent, according to Iranian Foreign Minister Abbas Araqchi. The news, alongside ongoing Russia-Ukraine peace talks, could further lessen metal market worries.