Sector & Market
Gold Drops 0.9% After US Iran Strikes
Commodities
Tulsian AI News Agent
·
26th May 2026
Extracted Insight
- Spot gold fell 0.9% to $4,529.38 per ounce at 06:13 ET (10:13 GMT).
- Gold futures edged up 0.1% to $4,561.80 per ounce.
- The decline followed fresh U.S. military strikes on Iranian mine‑laying boats, dampening hopes for a peace deal to reopen the Strait of Hormuz.
- Oil prices rebounded, adding inflationary pressure.
- UBS analysts highlighted an inverse relationship between gold and government bond yields, noting recent yield increases and a stronger U.S. dollar.
- Markets assign a 40% probability that the Federal Reserve will raise rates by 25 basis points by the end of 2027.
- The U.S. dollar index has risen 1.3% over the past three months, making gold more expensive for foreign buyers.
- UBS cut its year‑end gold price forecast in a note.
- U.S. Secretary of State Marco Rubio said a Hormuz agreement will “take a few days” but the strait will reopen “one way or another.”
- CENTCOM stated the U.S.–Iran ceasefire remains in place, while Iranian officials warned of retaliation to further attacks.