10.03.2026 09:11
Following U.S. President Donald Trump's statement that the war in the Middle East could soon come to an end, oil prices fell by more than 10%, while gold prices rose. Spot gold reached $5,164, U.S. gold futures rose to $5,188.70, and the price of gold per gram increased by 0.6% to 7,320 lira.
U.S. President Donald Trump's statements implying that the war in the Middle East could soon come to an end, along with a sharp drop in oil prices, have caused gold prices to rise again in global markets. The weakening dollar and falling energy costs have also been among the factors supporting the rise in gold.
GOLD OUNCES AND GRAM GOLD INCREASED
Spot gold rose by 0.5% in early trading on Tuesday, reaching $5,164 per ounce. In the U.S., April futures contracts for gold increased by 1.7% to $5,188.70.
The rise in gold ounces has also reflected in domestic prices. Gram gold started trading at 7,320 lira, up 0.6%.
A 0.4% decline in the dollar index has also increased demand for gold. The depreciation of the dollar has made gold cheaper for investors using other currencies, thereby supporting demand.
THE DROP IN OIL PRICES SUPPORTED GOLD
OANDA senior market analyst Kelvin Wong stated that the rise in gold prices is directly linked to Trump's statements. According to Wong, Trump's messages suggesting that tensions in the Middle East may ease indicate that inflation expectations could also soften alongside the sharp drop in oil prices.
Following Trump's statement that the war could soon come to an end, oil prices fell by more than 10%. This drop temporarily alleviated concerns about a prolonged disruption in global oil supply.
HORMUZ STRAIT TENSION AFFECTED ENERGY MARKETS
On the other hand, Trump warned that if Iran attempts to obstruct tanker traffic in the Hormuz Strait, through which about one-fifth of the world's oil supply passes, U.S. attacks could escalate rapidly. Due to the war, maritime traffic in the strait has largely come to a standstill. With numerous tankers stranded in the region for over a week, some producers have had to temporarily halt production due to storage capacity being filled. These developments have led to sharp fluctuations in energy prices.
FED DECISIONS AND INFLATION DATA ARE AWAITED
Gold prices had declined earlier in the week due to rising energy costs increasing inflation concerns and weakening the likelihood of a rate cut by the U.S. Federal Reserve (Fed). According to CME Group's FedWatch data, investors expect the Fed to keep rates unchanged at its meeting ending on March 18.
Although gold is generally seen as a hedge against inflation, low interest rates support prices by reducing the holding cost of non-yielding gold. Markets are now awaiting the February consumer inflation (CPI) data to be released in the U.S. on Wednesday and the PCE inflation indicator closely monitored by the Fed to be released on Friday.
RISE IN OTHER PRECIOUS METALS
The rise in gold has also reflected in other precious metals. Spot silver increased by 3% to $89.60, while platinum rose by 1.2% to $2,208.16. Palladium reached $1,693.84, up 0.2%.