Gold and silver prices are declining on Tuesday, with gold hovering around $4,500 per ounce and silver just above $76, despite lower U.S. Treasury yields. The stronger U.S. dollar and surging oil prices are exerting downward pressure on these precious metals. The recent U.S. military strikes in Iran have reignited concerns over geopolitical risks in the Strait of Hormuz, which could impact inflation expectations and, consequently, the demand for gold.

Brent crude oil has rebounded above $96 per barrel, gaining nearly 3%, while WTI crude is trading around $93. This uptick in oil prices, combined with ongoing Middle Eastern tensions, may lead to increased inflation and higher interest rates, further pressuring gold prices. The S&P/Case-Shiller Home Price Index also came in slightly below expectations, adding to the cautious market sentiment as investors await the upcoming Conference Board’s consumer confidence data.

Market professionals should closely monitor the support levels for gold near $4,450, as a sustained decline below this level could signal further bearish momentum in precious metals amid rising oil prices and geopolitical uncertainty.

StoxFeed tracks this as a market signal: Oil prices are responding to OPEC decisions and geopolitical tensions

Source: xtb.com