Gold Recovers After Two-Day Drop as Trump Extends Iran Ceasefire

Gold regained some ground after a two-day decline, as US President Donald Trump extended a ceasefire with Iran and allowed more time to arrange fresh peace talks.

Bullion rose as much as 1.1% before paring most of the gains during US hours. The US and Iran are locked in a battle for control of the Strait of Hormuz after failing to meet for a fresh round of peace talks, with both sides blocking the vital shipping route to gain leverage during an extended ceasefire.