FX.co ★ Gold Holds Gains as Oil Prices Decline

Gold held above $4,350 an ounce on Monday after rising for two straight sessions, supported by declining oil prices that eased worries about renewed inflation and additional interest rate hikes. Oil posted a fourth consecutive daily loss amid indications of intensified diplomatic efforts to resolve the Middle East conflict and restore energy supplies from the region.

President Donald Trump said he would “probably” be open to meeting Iranian President Masoud Pezeshkian on the sidelines of this week’s United Nations General Assembly, where he may also hold talks with other Persian Gulf leaders.

Investors are also looking ahead to a series of speeches by Federal Reserve officials this week, following the central bank’s first interest rate increase in three years last week. On Sunday, Minneapolis Fed President Neel Kashkari said inflation remains uncomfortably high and that price pressures have broadened beyond the initial oil-price shock associated with the Iran war.