Gold prices are trading in today’s Asian session below 2320 levels.
Gold prices in Asian trading declined on Thursday, nearing critical levels due to diminishing safe haven demand and expectations of sustained higher U.S. interest rates.
Bullion prices retreated significantly from recent record highs as concerns over potential conflict between Iran and Israel eased, reducing the appeal of gold as a safe haven asset.
With safe haven demand fading, gold became susceptible to downward pressure from elevated U.S. interest rates, which increased the opportunity cost of holding bullion.
Additionally, the strength of the US dollar, hovering near five-month highs, further weighed on metal prices.