WASHINGTON – Spot gold was at $4,627.63 an ounce after falling to a session low of $4,559.48. Despite the rebound, the metal remains on track for a weekly loss of about 1.7 Percent.
US gold futures for June delivery rose 0.4 percent to $4,649.60.
Chris Gaffney, head of global markets at EverBank, said, “Positive news regarding negotiations to end the war with Iran contributed to gold prices recovering from their early morning losses.”
He added: “Ending the war on Iran could lead the Federal Open Market Committee to cut interest rates again, which would cause the dollar to lose value, and that would have a positive effect on gold prices.”
The dollar fell against a basket of major currencies, making gold, which is priced in US dollars, cheaper for holders of other currencies.