Gold prices fell during Tuesday morning trading for the third consecutive session, as a result of the recovery of the US dollar index along with the calming of geopolitical tensions in the Middle East.
In this regard, the performance of the US dollar recovered during trading in the major currency markets, which led to a decline in demand for metals denominated in the greenback, including gold, as the precious metal appeared to be a more expensive investment opportunity for holders of foreign currencies other than the dollar.
In addition, recent developments in the Middle East have raised market expectations that the war on Gaza may end in the near future, as the occupying entity witnessed widespread strikes and protests yesterday, Monday, demanding the necessity and speed of reaching an agreement with the Palestinian Hamas movement on a prisoner exchange agreement, especially after news revealed the discovery of six bodies of hostages in Gaza.
As a result, officials expressed their full commitment to reaching an agreement regarding hostages and prisoner exchange with Hamas, which led to the decline of market fears of the continuation of the conflict and the escalation of the war on Gaza that began last October, which reinforced the decline in demand for safe havens, including gold.
Gold performance now
On Tuesday's trading, spot gold prices fell by about 0.1% to $2,496.56 per ounce, while gold futures prices for December delivery fell by about 0.12% to $2,528.60 per ounce.
