Gold prices climbed on Wednesday, approaching a two-week high after a sharp March decline, supported by a softer U.S. dollar and easing Treasury yields.
Spot gold advanced 1.2% to $4,723.35 per ounce, earlier reaching its highest level since March 19. U.S. futures gained 1.5% to $4,749.90.
The rebound follows signals from U.S. officials suggesting a possible de-escalation in tensions involving Iran, boosting market sentiment and reducing pressure on safe-haven assets.
A weaker dollar, hovering near a one-week low, made gold more affordable for international buyers, while benchmark 10-year Treasury yields also slipped.
Despite the recent uptick, gold recorded an 11% monthly drop in March, marking its steepest decline since the 2008 financial crisis.
Rising oil prices had fueled inflation concerns, prompting expectations of tighter monetary policy, which typically weighs on non-yielding assets like gold.
Market analysts note that gold’s direction remains uncertain, as investors weigh its role as a safe haven against the impact of prolonged higher interest rates.
Among other metals, silver fell 0.8% to $74.50, platinum rose 0.5% to $1,958.75, while palladium edged down 0.2% to $1,473.75.
