Gold at a crossroads as U.S. and Iran set tentative peace deal for Friday signing in Geneva

The United States and Iran have reached a preliminary peace agreement on the Middle East and plan to formally sign it in Geneva on Friday, including reopening the Strait of Hormuz and restoring oil shipments. The deal remains uncertain, as Iran has demanded the U.S. unfreeze US$12billion as a condition for launching nuclear talks, while Washington holds a different view on that clause. Israel has also said it is not bound by the agreement. If implemented, the deal could reduce geopolitical risk premia, weighing on gold’s safe-haven appeal and pressuring oil prices.