Gold Climbs 1.1% to $4,560 as Dollar Weakens and Iran Deal Hopes Sink Oil

5 articles · Updated · Reuters · May 25

$4,560.09 an ounce marked spot gold's rise of 1.1% on Monday, while June U.S. futures added 0.9% to $4,562.10.
A weaker dollar made bullion cheaper for non-U.S. buyers, and oil's slide to a two-week low eased inflation worries that can keep interest rates higher and pressure non-yielding gold.
Trump fueled hopes of a U.S.-Iran breakthrough by saying Washington and Tehran had largely negotiated a memorandum to reopen the Strait of Hormuz, though he later said his team should not rush into any deal.
Kevin Warsh took office as Fed chair on Friday as the Iran war's gasoline shock clouds the inflation outlook, leaving gold sensitive to both Middle East diplomacy and U.S. rate expectations.

As central banks stockpile gold, is its rising price about Iran or a deeper loss of faith in dollars?

If the Strait reopens, will it bring lasting economic relief or just delay the next global supply crisis?

With Iran's nuclear material hidden, how can the world trust any new deal to prevent a bomb?