Spot gold prices edged higher on Wednesday. This followed a Tuesday rally that pushed the market to its highest level since January 30. A subsequent sell-off, however, ended a four-day winning streak.
Traders are now closely watching geopolitical tensions between Iran and the United States. The outcome of Thursday’s meeting between the two nations could determine gold’s near-term direction. A collapse in talks might lead to a U.S. attack, while continued discussions could see gold stall.
Expectations for Federal Reserve interest rate cuts also influence gold’s movement. The probability of a June rate cut recently fell from 50.2% to 43.2%. The market now prices in a 71% chance for a July cut.
Technically, gold remains in a