Gold extended its losses on Wednesday, as expectations surrounding U.S. interest rate hikes bolstered the dollar, while investors evaluated the mixed signals regarding the U.S.-Iran peace negotiations. Spot gold declined by 0.5% to $4,087.68 per ounce as of 0116, marking its lowest point since June 11. U.S. gold futures for August delivery experienced a decline of 1.1%, settling at $4,105.40. The dollar reached a peak not seen in over a year, resulting in increased costs for bullion for international purchasers.

U.S. President Donald Trump stated on Tuesday that Iran had consented to nuclear inspections indefinitely, whereas Tehran asserted that it had not made such a concession during negotiations, prompting enquiries regarding the sustainability of their tenuous peace agreement. Traders are anticipating three interest rate increases from the U.S. Federal Reserve this year, as indicated by the CME FedWatch Tool. Investors are closely monitoring the upcoming U.S. Personal Consumption data. Expenditures data, which serves as the Fed’s preferred inflation gauge, is set to be released on Thursday, providing additional insights into monetary policy.

Dubai’s commodities exchange is set to introduce a same-day settlement gold contract, as stated by its CEO. This initiative seeks to capitalise on safe-haven demand and enhance trading infrastructure, thereby increasing liquidity in the emirate’s bullion market. Ghana’s Gold Board is set to align its gold pricing regime with internationally recognised LBMA benchmarks starting July 1. The Board will also impose strict caps on purchase prices to enhance market discipline and mitigate irregular trading, as stated on Tuesday Spot silver declined by 1.1% to $61.36 per ounce, while platinum decreased by 0.9% to $1,637.34, and palladium experienced a drop of 1.2% to $1,223.29.