Gold slipped below $4,700 an ounce on Monday, extending last week’s declines as efforts to revive US–Iran peace talks stalled and the Strait of Hormuz remained effectively closed, amplifying concerns over sustained inflationary pressures. US President Donald Trump cancelled a planned visit by senior envoys to Islamabad for renewed discussions with Iran, while Tehran reiterated that it would not enter negotiations under conditions of threat or blockade. At the same time, oil prices climbed as the Middle East conflict moved into its ninth week, prompting what the IEA has described as the largest energy supply shock on record. The resulting inflation risks have reinforced expectations that central banks may keep interest rates higher for longer, or even tighten further, pressuring non-yielding bullion. The US Federal Reserve is also expected to move cautiously, with gradual rate cuts anticipated under incoming Chair Kevin Warsh.