Gold prices rose on Monday as investors monitored the progress of US-Iran talks in Switzerland and assessed the outlook for US monetary policy following hawkish signals from the Federal Reserve last week.
According to trading data cited by FinFly, spot gold rose 0.8% to $4,194.83 per ounce, while US gold futures climbed 0.9% to $4,211.66. Last week, the metal fell 1.4%, ending three consecutive sessions in negative territory.
The precious metal found support after Iranian officials reported progress in talks with the US, which helped ease concerns about prolonged disruptions to global energy supplies and put pressure on oil prices.
The decline in oil prices helped reduce inflation fears, supporting gold by curbing expectations that rising energy costs could force the Fed into a more aggressive tightening cycle.
Among other precious metals, silver rose 1.6% to $66.03 per ounce, and platinum gained 0.3% to $1,671.60 per ounce.