Yesterday, the market witnessed an extremely volatile trading day. Gold prices plunged more than $400 before reversing and rebounding by $400, resulting in heavy liquidations across the market.
The rebound in gold last night was believed to be driven by positive sentiment as negotiations between the United States and Iran were being proposed.
However, this morning, news reports indicated that Israel continues to carry out attacks on Iran’s energy infrastructure.
This development is raising concerns that the negotiations may fail and the conflict could continue to escalate, potentially leading to a global economic downturn.
Therefore, in the short term, it is highly likely that the United States will make a decisive move regarding whether to pursue peace or carry out a full-scale military action against Iran. Oil and gold prices are expected to experience a strong wave of volatility, shaking the entire market.
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