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03.08.202600:21:03UTC+00Gold Rises as US-Iran Peace Talks Eyed

Gold rose above $4,050 an ounce on Monday, recouping losses from the previous session after President Donald Trump announced that peace talks with Iran would resume today. The news pushed oil prices lower and eased concerns about inflation and the outlook for interest rates. Trump said key Middle Eastern allies, including Saudi Arabia, had urged him to halt planned military strikes and instead pursue a diplomatic solution, while he reiterated his call for the swift reopening of the Strait of Hormuz. At the same time, investors shifted their attention to a busy week of US labor market data, culminating in Friday’s closely watched monthly jobs report. Last week, the Federal Reserve left interest rates unchanged, though three officials dissented, cautioning that delaying action for too long could ultimately necessitate more aggressive policy tightening. Markets are now pricing in roughly a 68% probability of a 25-basis-point Fed rate hike in September.

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