Gold prices advanced for a fourth consecutive session during European trading on Wednesday, helped by a softer U.S. dollar as investors assessed signs that the United States and Iran may be moving toward a resolution of the conflict in the Middle East.
Spot gold rose 1.6% to $4,742.67 per ounce by 07:20 ET (11:20 GMT), while U.S. gold futures increased 2.0% to $4,770.80.
The precious metal had already surged 3.5% in the previous session as the dollar weakened, although it still ended March down more than 11% overall.
Trump says U.S. could exit Iran within 2–3 weeks
Gold’s upward move followed remarks from U.S. President Donald Trump, who said Washington could withdraw from the conflict with Iran within “two to three weeks.” The comments fueled hopes of a possible easing in the war that has lasted more than a month, though uncertainty over how and when any agreement might materialize kept market sentiment cautious.
In Tehran, state media reported that President Masoud Pezeshkian said Iran was prepared to bring the conflict to an end, while also restating key conditions, including guarantees against further attacks.
The decline in the U.S. dollar also supported bullion prices, as a weaker greenback makes gold cheaper for buyers using other currencies. The U.S. dollar index, which measures the currency against a basket of major peers, was last down 0.5%.
Expectations that tensions could ease also pushed oil prices, still elevated after weeks of conflict, slightly lower. That move helped ease fears of a surge in energy-driven inflation that could push central banks to raise interest rates. Gold, which does not generate yield, often struggles in periods of rising rates.
Investors are now focusing on upcoming U.S. economic indicators, including Friday’s nonfarm payrolls report, which could offer further clues about the outlook for monetary policy and currency markets.
Among other precious metals, silver slipped 0.4% to $74.85 per ounce, while platinum gained 1.2% to $1,976.83 per ounce.