Geopolitical Risks Keep Gold Bullish as Iran-Oman Deal Stalls
Unresolved Iran-Oman Strait of Hormuz deal and Houthi threats to Saudi infrastructure support gold, with potential for sustained bullish momentum if Middle East tensions persist alongside a less hawkish Fed.
The deal between Iran and Oman to reopen the Strait of Hormuz remains unresolved, contributing to ongoing geopolitical uncertainty. At the same time, Houthi attacks continue to threaten Saudi Arabia's energy infrastructure.
These risks have become an important upside catalyst for gold. Analysts note that if tensions in the Middle East persist while U.S. monetary policy shifts to a less hawkish stance, the precious metal could maintain its bullish momentum.
The combination of geopolitical instability and potential Fed dovishness creates a supportive environment for gold prices in the near term.
Source: First Squawk