Mitsubishi UFJ: Gold is expected to record a weekly increase as oil prices soften and hopes for US-Iran talks boost.

Gold futures are expected to record another week of gains, as optimism for possible talks between the United States and Iran, as well as a ceasefire between Israel and Lebanon, have pushed down oil prices and boosted overall market sentiment. Soojin Kim of Mitsubishi UFJ said, "Softening oil prices have eased inflation concerns." However, despite gold recovering some of its earlier losses, prices are still around 9% lower than at the start of the conflict; ongoing risks to energy supply and damaged infrastructure may keep inflation uncertainty high. In early European trading, New York gold futures remained flat at $4,807.30 per ounce.