Gold edges up after Trump postpones strikes on Iran energy sites

Gold reclaimed a portion of its earlier Monday losses after President Donald Trump said he was postponing planned strikes on Iran’s energy infrastructure to allow for talks to continue. The announcement triggered a swift market repricing, with oil’s war premium easing and risk assets rallying as investors took the pause as a de-escalation signal.

The sequence began with a Truth Social post in which Trump described two days of “very good and productive” conversations and announced a five-day postponement of attacks on Iranian power plants and energy facilities. Iranian state media promptly denied direct negotiations, leaving markets to weigh the credibility of the claim amid volatile trading conditions. Brent and WTI futures initially tumbled before bouncing, while U.S. equity futures and sovereign yields moved in line with reduced near-term geopolitical risk.

From a commodity perspective, gold’s intraday recovery reflected the tug-of-war between safe-haven demand and improving risk appetite. XAUUSD had suffered significant intraday selling in Asian hours, but the prospect of lower immediate disruption to global oil flows capped downside pressure and encouraged some buying. Traders also cited moves in the U.S. dollar and Treasury yields as factors that limited a full-scale rebound in bullion.

Broadly, the development sits at the intersection of energy security concerns and inflation dynamics. Disruptions to shipping through the Strait of Hormuz and attacks on energy infrastructure elevated oil prices and posed upside risks to inflation, complicating central bank calibrations. A temporary pause in strikes reduces immediate tail risk for supply, but analysts caution that the underlying geopolitical fault lines have not been resolved.

Market strategists say the durability of the rally will depend on verification of diplomatic progress and Iran’s response. In the short term, expect continued volatility: traders will monitor headlines on negotiations, oil flow indicators and U.S. real yields for signals. If de‑escalation is confirmed, gold may see further pressure as funds rotate back into risk assets; conversely, any reversal would quickly re‑ignite safe‑haven flows.