Israel may be days away from a cease-fire with Lebanon’s Hezbollah, according to the Israeli ambassador to the US. Prices fell after Axios reported that both Israel and Lebanon have agreed to the terms of a cease-fire, though no official announcement has been made.

Bart Melek, global head of commodity strategy at TD Securities, noted, “When risk drops, gold typically falls too."

Gold prices dropped by 3.7% to $2,615.58 an ounce, marking the largest intraday decline since June 7, as traders unwound positions made during last week's geopolitical tensions, which had driven gold’s biggest weekly rally in 20 months.

While gold has found support amid the ongoing Russia-Ukraine and Middle East conflicts, investors are now focusing on the Fed's potential easing policy in response to resilient economic data.

The largest intraday decline since June 7

Nov 26 2024