FX.co ★ Gold Hovers 1-Month Low on Inflation Risks

Gold traded near $4,550 an ounce on Thursday, hovering at its lowest level in a month as surging energy prices intensified inflation concerns and reinforced expectations that major central banks may need to raise interest rates. President Donald Trump said the United States would maintain its naval blockade of Iran until Tehran agrees to a nuclear deal, while Iranian officials accused Trump of trying to subdue the country through economic pressure and by exploiting internal divisions. The protracted conflict in the Middle East and the near-closure of the Strait of Hormuz rattled global markets, prompting traders to scale back expectations for interest rate cuts this year and instead start pricing in the possibility of a hike by 2027. Meanwhile, the US Federal Reserve left monetary policy unchanged, as widely anticipated, though four officials dissented, highlighting growing divisions over the policy outlook amid heightened uncertainty related to the Iran crisis.