Gold tumbled on mounting inflation concerns, after US-Iran peace talks ended without resolution and American plans to blockade the Strait of Hormuz deepened a global energy-supply shock.
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China’s central bank extended its gold-buying streak for a 17th straight month, signaling steady demand.
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Market participants continue to assess the durability of the ceasefire, and its implications for interest rates.
Gold is likely to rebound in the long-term even as the Middle East war upended the market, according to banks including ANZ Banking Group Ltd. and Goldman Sachs Group Inc.