Gold moved higher on Monday, recovering from its lowest level in more than a week as investors reassessed the outlook for geopolitical risk, oil prices and US interest rates.
Spot gold rose 0.8% to $4,194.99 an ounce by 0608 GMT, after falling on Friday to its weakest level since 11 June. US gold futures for August delivery slipped 0.8% to $4,213.10, but the recovery in spot prices showed that investor demand remains resilient despite a more complex policy backdrop.
The latest move followed talks between US and Iranian officials in Switzerland. Iran’s foreign ministry spokesperson said the discussions had made progress, while Qatar and Pakistan, which have been mediating, said both sides had agreed to a roadmap towards a final deal within 60 days.
A diplomatic roadmap may reduce some immediate uncertainty, but it also gives markets a defined period in which to assess whether the talks can deliver a lasting agreement. Until there is a final deal, gold may continue to benefit from demand for protection against political and market risk.
Other precious metals also advanced, reinforcing the broader improvement in sentiment across the sector. Spot silver rose 2.4% to $66.48 an ounce, platinum gained 0.7% to $1,675.91, and palladium increased 1.8% to $1,280.45.
Cora Gold Ltd (LON:CORA), together with its subsidiaries, explores for and develops mineral projects in West Africa. The company primarily explores for gold deposits. Its flagship project is the Sanankoro Gold project located in the Yanfolila Gold Belt, Southern Mali.
