Gold edged higher on Wednesday, extending gains for a fifth consecutive session, as optimism surrounding the U.S.-Iran peace deal alleviated concerns regarding interest rate hikes. Meanwhile, investors remained attentive to forthcoming details on the deal and the Federal Reserve’s policy meeting. Spot gold increased by 0.4% to $4,348.93 per ounce, as of 0107. U.S. gold futures for August delivery increased by 0.3%, reaching a price of $4,368.40. Details began to surface regarding the interim agreement between the U.S. and Iran aimed at concluding the conflict in the Middle East. U.S. President Donald Trump stated that the agreement will eliminate the possibility of a nuclear weapon for Tehran, while a U.S. official indicated that it permits Iran to sell oil upon signing.

The memorandum of understanding signed this week, although not yet disclosed to the public, prolongs a fragile ceasefire established in April by an additional 60 days to facilitate negotiations for a lasting peace agreement between the conflicting nations. Investors are currently anticipating the Federal Reserve’s policy decision and comments, the inaugural ones under Chair Kevin Warsh, later today, with interest rates largely expected to stay the same. A majority of Federal Reserve policymakers currently believe that U.S. short-term borrowing costs will need to remain unchanged throughout the year, as projections set to be released on Wednesday are anticipated to indicate.

A minority is expected to suggest a rate increase to prevent a persistent rise in inflation from becoming ingrained in the economy. A record 45% of the reserve managers surveyed by the World Gold Council anticipate augmenting their respective institutions’ gold holdings in the forthcoming 12 months, as reported by the international organization on Tuesday. Spot silver rose 0.4% to $70.47 per ounce, platinum gained 0.9% to $1,819.45, and palladium was up 0.6% to $1,360.32.