Steady Gold Amid Treasury Movements and U.S.-Iran Talks

On Friday, gold prices remained broadly stable as a dip in U.S. Treasury yields alleviated the opportunity cost of holding bullion. Simultaneously, subdued safe-haven demand kept the prices in check as investors evaluated the ongoing U.S-Iran negotiations.

Spot gold saw a slight increase of 0.1%, reaching $5,192.19 per ounce by early morning trading. The benchmark 10-year yield dropped to its lowest in three months, providing support for gold despite declining risk premiums following U.S.-Iran talks, noted Kelvin Wong, a senior market analyst at OANDA.

While the U.S. and Iran showed progress in Geneva discussions regarding Tehran's nuclear program, no breakthrough was achieved to prevent potential U.S. strikes. Meanwhile, the dollar was poised for a monthly gain, reflecting a more hawkish Federal Reserve stance, complicating the scenario for dollar-pegged gold prices.