Market Analysis: After the US-Iran ceasefire, gold and silver prices rose, mainly due to improved market sentiment and reduced bets on interest rate hikes

According to analysis reported by the financial website Investinglive, typically, easing geopolitical tensions is unfavorable for precious metals like gold and silver. However, this time the situation is exactly the opposite. Before the outbreak of the US-Iran conflict, positions in gold and silver were primarily reliant on leveraged trading. The negative impact of the conflict led to leveraged selling, causing precious metals like gold and silver to fall. After the US-Iran ceasefire, improved market sentiment drove a rebound in gold and silver. Additionally, the US-Iran ceasefire also implies that major central banks may not need to raise interest rates too aggressively. This is one of the reasons for the rebound in precious metals. (Jin10)