Gold Prices Freeze as Traders Await Trump-Iran Deadline Today
Jakarta, CNBC Indonesia - Gold prices remained almost stationary as investors awaited further signals regarding the developments in the United States (US)-Iran situation ahead of the deadline for reopening the Strait of Hormuz on Tuesday or today.
According to Refinitiv, gold prices closed at US$4,674.39 per troy ounce on Monday (6 April 2026), down 0.6%. Movements below 0.6% at present can be categorised as “frozen” given that over the past year, gold prices have more often fluctuated wildly by 2-3% per day.
This weakening extended gold’s suffering with a 2.3% decline over two consecutive days.
Gold prices began to strengthen today. On Tuesday (7 April 2026) at 06:21 WIB, gold prices rose 0.6% to US$4,659.39 per troy ounce.
Iran has stated its desire for a permanent end to the war with the US and Israel, and rejected pressure to immediately reopen the Strait of Hormuz under a temporary ceasefire, amid efforts by both sides to draft a framework for resolving the conflict that has lasted five weeks.
US President Donald Trump has threatened to “rain hell” on Tehran if no agreement is reached by Tuesday.
“Focus will likely remain on the war and interest rates. If the conflict drags on, oil prices will continue to rise along with supply tightening, thereby adding inflationary pressure,” said Bart Melek, head of global commodity strategy at TD Securities, to Reuters.
“This leaves central banks, particularly the Federal Reserve, with narrower room to ease policy, and could even reignite discussions on rate hikes if energy prices keep rising, which is a negative sentiment for gold,” he added.
Gold is widely regarded as a hedge against geopolitical risks and inflation. However, because it offers no interest yield, gold tends to be less attractive when interest rates are high.
Other factors drawing investor attention include the March Federal Reserve policy meeting minutes to be released on Wednesday, US Personal Consumption Expenditures (PCE) data on Thursday, and the Consumer Price Index (CPI) on Friday.
The US central bank maintained interest rates last month, and the majority of market participants now see almost no chance of the Fed cutting rates this year, according to the CME’s FedWatch tool.