Gold falls over 2% as dollar, Treasury yields rise

Gold bars

Gold and silver prices declined on Tuesday, pressured by the rise in the US dollar and Treasury yields, amid concerns over a potential collapse of the diplomatic track between the US and Iran.

Gold futures for June delivery fell by 2.26%, or $109.20, to $4,719.60 per ounce.

Silver futures for April delivery also dropped by 4.43%, or $3.54, to $76.411 per ounce.

This came amid an unclear outlook for the conflict in the Middle East, with the approaching end of the ceasefire between the US and Iran, and conflicting signals from Washington.

US President Donald Trump expressed reluctance to extend the truce, which expires tomorrow, but suggested the possibility of reaching what he described as a “great deal.”

Meanwhile, Iran said it has not yet decided whether to engage in another round of negotiations, prompting US Vice President JD Vance to postpone his trip to Pakistan, according to New York Times.