The rising trend of gold price "came to a halt"! Iranian Speaker of Parliament says ceasefire agreement has been violated, gold price briefly broke 4800 US dollars before turning downwards.

According to the Speaker of the Iranian Parliament, the temporary ceasefire agreement reached between Iran and the United States has been violated, causing the price of gold to erase earlier gains and turn lower. Gold prices had previously surged by 3.2%, breaking through $4,800 per ounce, but then tightened their gains. As of the writing of this article, spot gold was down 0.16% at $4,711.66 per ounce. Silver was down 0.53% at $73.69. The Bloomberg Dollar Spot Index, which measures the value of the dollar, was up 0.02%. Mohammad Bagher Ghalibaf, the Speaker of the Iranian Parliament, stated that three terms of the ceasefire proposal have been violated so far. Meanwhile, US bond yields have erased losses and the dollar has trimmed its decline, putting pressure on gold, which does not pay interest and is priced in dollars. In a statement posted on the X platform, Ghalibaf said, "Bilateral ceasefire or negotiations are unreasonable," and the "foundation available for negotiations" has been openly and clearly destroyed even before negotiations began. Previously, the two-week truce agreement reached between the US and Iran had alleviated concerns about the global economic crisis, leading to a sharp rebound in risk appetite and concurrent rises in gold and global stock markets. Oil prices fell below $100 per barrel, and the dollar weakened, providing support for gold. The decline in oil prices eased concerns about energy crises driving up inflation and reignited bets on a rate cut by the Federal Reserve. Currently, traders expect less than a one-third probability of the Fed cutting rates by 25 basis points by the end of 2026. Lower rates typically favor gold because gold itself does not generate interest. Since the outbreak of the Middle East conflict, gold prices have generally moved in sync with the stock market, and its traditional safe-haven appeal has been weakened by some investors needing to offset losses in other assets in their portfolios. To sustain its upward momentum, traders need to confirm that the ceasefire can continue and that energy transport through the Hormuz Strait returns to normal. Ahmad Asiri, a strategist at Pepperstone Group Ltd., said, "The rise in gold above $4,800 reflects a repricing of risk, not a complete change in the landscape. The rise in gold prices indicates that the probability of a long-term interruption has decreased, but it still maintains a considerable discount compared to the pre-war period." Since the outbreak of the conflict at the end of February, gold has fallen by around 10%. The recent moderate rebound is driven by hopes for a ceasefire and may offset expectations of stable or rising interest rates. Asiri added, "In the short term, gold remains highly sensitive to political developments. The current ceasefire provides a breathing space, but the agreement is conditional and fragile. Any signs of a rupture, particularly around the tense situation in the Hormuz Strait, may reintroduce volatility and downside risks."