Ammon News - Gold prices firmed on Tuesday, supported by ‌softer oil prices following a fragile Israel-Iran truce, while focus was also on inflation and interest rate hike risks.

Spot gold was up 0.4% at $4,345.71 per ounce, as of 0602 GMT. ​In the previous session, bullion touched its lowest point in more than ​two months.

U.S. gold futures for August delivery were up 0.2% ⁠at $4,370.80.

Iran and Israel said on Monday they had halted attacks on each other after an appeal from U.S. President Donald Trump, though Tehran warned it would resume hostilities if Israel ​continued to hit Hezbollah in Lebanon.

Oil prices eased, erasing most of Monday's gains.

Elevated ​crude oil prices can accelerate inflation, and while gold is seen as a hedge against inflation, ‌higher ⁠interest rates tend to weigh on the non-yielding metal.

Investors are bracing for May's U.S. consumer price index ​data, due on Wednesday, to gauge the Fed's monetary policy ​path.

Spot silver rose 0.4% to $68.45 per ounce, platinum gained 0.3% to $1,759.74, and palladium rose 1.5% to $1,223.44.


Reuters