Gold Traders Stuck in Neutral as Fed Rate Fears and Iran Talks Freeze the Market

Gold prices stalled on Monday as traders weighed the possibility of another Federal Reserve rate hike and monitored ongoing talks between the United States and Iran [247743][248937]. The two events are keeping investors on the sidelines, waiting for clearer signals before making major moves.

Gold moved slightly lower as traders watched both developments [247743]. The US-Iran talks could affect energy costs, which feed into inflation, while comments from Fed officials may hint at how the central bank views those cost pressures [247743].

At the same time, investors are betting the Federal Reserve could raise interest rates again [248937]. Higher rates make gold less attractive because the metal pays no interest, meaning investors earn nothing from holding it while rates rise [248937]. Traders are now waiting for fresh US economic data for clues on the Fed's next move [248937].

Beyond futures, gold mining stocks are also in focus. Ramelius Resources and Pantoro Gold, both gold producers listed on the Australian Securities Exchange (ASX), are drawing attention in the latest market discussion [246510]. Market Talk, a regular report on company news and analyst views, covers these two miners as the main names in today's basic materials coverage [246510].

In a separate development, Hong Kong is pushing to expand global use of the Chinese yuan. The city's stock exchange operator, Hong Kong Exchanges and Clearing (HKEX), will launch new gold futures priced in yuan early next year [248389]. The city's de facto central bank also plans to introduce more yuan products and platforms, aiming to support the yuan's internationalization and digitalization [248389].