Gold Prices Near Two-Week Highs as US-Iran Deal Optimism Weakens the Dollar

Gold prices held near two-week highs on Wednesday, supported by a weaker US Dollar and optimism over potential US-Iran diplomacy. The US Dollar Index (DXY) fell to a two-week low, making dollar-priced bullion more attractive to international buyers. Markets are tracking indirect US-Iran talks mediated by Oman, with expectations that sanctions on Iranian oil exports could be eased. That prospect has weighed on the dollar by reducing geopolitical risk premiums and refocusing attention on possible changes in global oil supply. Gold has risen about 1.5% over the past three sessions. Traders also watch the Federal Reserve for any policy signals, since interest-rate expectations influence non-yielding assets like gold. A successful US-Iran deal could bring Iran back into formal oil markets and potentially increase supply, which may pressure crude prices but also lower inflation concerns—supporting gold despite reduced pure safe-haven demand. Key levels cited in the article: gold around $2,350/oz near the recent two-week high, with support above $2,320 and resistance near $2,370. Any setback in negotiations could quickly reverse dollar weakness and pressure gold prices, while central-bank demand remains a structural tailwind. For crypto traders, this is a headline-driven macro mix: dollar softness and geopolitical de-risking can shift liquidity and risk sentiment, affecting BTC and broader market stability indirectly.