Gold prices edged lower in international markets, with investors closely tracking developments in ongoing US–Iran discussions that could influence geopolitical risk and commodity trends.
Officials from the Federal Reserve System signalled caution on the economic outlook amid the conflict. Neel Kashkari warned that a prolonged Iran crisis could push inflation higher and cause wider economic strain, making it harder for policymakers to offer clear guidance on interest rates.
Similarly, Austan Goolsbee noted that recent inflation data has been disappointing, stressing the need for restraint before considering any easing of monetary policy.
Latest economic figures showed US inflation picked up pace in March, partly due to rising fuel costs linked to the conflict. The Personal Consumption Expenditures Price Index—a key gauge tracked by the Federal Reserve—rose by 0.7% during the month, marking its sharpest increase since June 2022.
With inflation pressures persisting and geopolitical uncertainty still high, market sentiment remains cautious, keeping investors attentive to both central bank signals and diplomatic developments.
