Gold Hits One-Month High as Hormuz Hopes Ease Inflation Pressure
Gold climbed to its strongest level in a month on Wednesday, buoyed by renewed optimism over the reopening of the Strait of Hormuz that weighed on oil prices and tempered inflation fears.
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The precious metal advanced nearly 1.9% to trade around $4,155, marking its highest level in a month. The move came as prospects of a smoother passage through the key oil chokepoint pushed crude prices lower, easing concerns that inflation would accelerate. That shift weakened the case for aggressive monetary tightening, which often pressures non-yielding assets like gold.
Traders now watch the next technical levels, though the initial thrust has already recaptured territory not seen in weeks.
Source: FXStreet Forex News