Gold recovers, crude falls on U.S. Iran talks hopes

April 14, 2026 (MLN): Gold prices recovered on Tuesday after touching a near one-week low in the previous session, supported by a weaker U.S. dollar and a decline in crude oil prices as expectations of renewed U.S. Iran diplomatic engagement helped ease supply-side concerns.

Currently, spot gold is up 0.39% to $4,764.56 an ounce as of [11:38 am] PST, according to data reported by Mettis Global.

Oil markets retreated, with prices falling below the $100 per barrel mark amid growing speculation of potential dialogue between Washington and Tehran aimed at de-escalating tensions.

The possible diplomatic thaw has reduced fears surrounding disruptions linked to the U.S. blockade of Iran’s access routes through the Strait of Hormuz, a critical global energy chokepoint.

Crude oil typically plays a key role in global inflation dynamics, as higher energy costs feed into transportation and production expenses.

While rising inflation often boosts gold’s appeal as a safe-haven asset, persistently high interest rates can limit demand for the non-yielding metal by increasing the opportunity cost of holding it.

Market sentiment has shifted toward cautious optimism, with suggesting that investors still see room for progress in U.S. Iran negotiations.

According to market commentary, expectations of diplomatic movement have contributed to recent volatility across commodities.

The discussions between Washington and Tehran remain ongoing. U.S. Vice President JD Vance noted in a recent interview that Washington expects Iran to take steps toward reopening access through the Strait of Hormuz, further reinforcing hopes of gradual de-escalation, according to Reuters.

Tensions, however, remain elevated. The U.S. military reportedly initiated a blockade of Iranian ports earlier in the week, according to statements attributed to President Donald Trump, while Tehran has warned of possible retaliation against regional shipping routes following failed peace talks held over the weekend.

Adding further support to gold, the U.S. dollar hovered near its lowest level in over a month, making bullion more attractive for holders of other currencies and boosting demand for the precious metal.

Meanwhile, interest rate expectations in the U.S. have shifted, with traders now pricing in a 28% probability of a 25-basis-point rate cut this year, up from around 12% last week. Prior to recent geopolitical escalation, markets had anticipated up to two rate cuts in 2026.

Copyright Mettis Link News