Gold nears £3,016 an ounce as hopes rise for a US-Iran peace deal

Gold climbed above $4,050 an ounce on Monday, its highest level in a week, after President Trump said peace talks with Iran will resume today, according to Trading Economics. Saudi Arabia reportedly urged the White House to suspend planned strikes and pursue a diplomatic deal instead, and oil prices fell as tensions eased. In sterling, spot gold traded at around £3,016 an ounce, using today's approximate GBP/USD rate of 1.35, up 0.4 per cent on the day and about a fifth higher than a year ago.

Silver moved further, adding just over 1 per cent to trade near $58.20 an ounce, or about £43.25 in pounds, and is now 55 per cent higher than 12 months ago, comfortably outpacing gold's annual gain. Markets are still pricing in roughly a two thirds chance of a Fed rate rise in September, after last week's hold saw three policymakers dissent in favour of tightening.

For UK buyers, today's move is a reminder that geopolitics can shift bullion prices as quickly as interest rate decisions. The price quoted is only the spot price: what you actually pay includes the dealer's premium and, for silver, VAT, plus any delivery or storage costs. This is not financial advice.