Gold Holds Decline on Middle East Concerns
2026-06-07 23:52
By
Jam Kaimo Samonte
1 min. read
Gold traded near $4,300 an ounce on Monday after tumbling nearly 5% last week to its lowest level in more than two months, as renewed tensions in the Middle East drove oil prices higher and fueled concerns about inflation and interest rates.
Iran launched several rounds of missiles toward Israel in a warning against further military actions in Lebanon, though Israel's military said all the projectiles were intercepted and no casualties were reported.
The prolonged conflict and the continued near-closure of the Strait of Hormuz have disrupted energy supplies from the Persian Gulf, supporting higher oil prices and intensifying inflation concerns.
At the same time, stronger-than-expected US employment data weighed on bullion last week by reinforcing expectations that the Federal Reserve could raise interest rates later this year.
Markets are now pricing in roughly a 70% chance of a Fed rate hike in December, up from around 50% before the jobs report.