Gold Holds Flat as Ceasefire Optimism Offsets US CPI Concerns

Gold (XAU/USD) is little changed on Monday, caught between opposing forces. On one hand, easing geopolitical tensions after reports of halted Iran-Israel attacks support risk appetite and dampen safe-haven demand for the yellow metal. On the other hand, Friday's solid US Nonfarm Payrolls report reinforces the labor market's resilience, giving the Federal Reserve room to maintain its restrictive policy stance.

Traders now brace for upcoming US CPI data, which could further influence the Fed's rate path. A stronger inflation print may reinforce hawkish expectations and cap gold's upside, while a softer reading could revive rate-cut bets. For now, XAU/USD consolidates near $2,650 as the market weighs these factors.