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GOLD EASES FROM HIGHS AS HORMUZ TENSIONS FAIL TO SUSTAIN RALLY

Published on Apr 13, 2026 14:23

Gold prices retreated below the $4650 per ounce mark in electronic trading on Monday, as safe-haven demand weakened despite escalating geopolitical tensions. The decline follows renewed concerns over a potential energy crisis after Donald Trump announced a blockade of the Strait of Hormuz, triggered by failed negotiations with Iran. While such developments typically support bullion, markets instead witnessed profit-taking after gold�s recent rally toward three-week highs near $4800. Investor sentiment has turned cautious, with lingering doubts over the durability of any de-escalation efforts in the Middle East. Ongoing regional tensions and incomplete ceasefire coverage have limited fresh safe-haven inflows, prompting traders to trim positions. Adding pressure, the US dollar index rebounded toward the 99 level, reducing gold�s appeal as an alternative asset. Despite persistent inflation concerns driven by earlier oil price spikes, the immediate reaction reflects a market consolidating gains rather than extending the rally. On the domestic front, MCX June gold futures edged lower by 0.5% to ₹1,51,900 per 10 grams, mirroring the subdued global trend. Overall, gold remains caught between geopolitical uncertainty and profit-booking pressures, signaling a phase of consolidation unless fresh catalysts revive safe-haven demand.