Overview
- U.S. and Iranian officials announced a preliminary framework to end their conflict and reopen the Strait of Hormuz, with a formal signing reported to be scheduled for June 19 in Switzerland.
- Global spot gold rose about 2–3% to trade above $4,300 per ounce and silver gained strongly as the U.S. dollar weakened and oil prices fell roughly 4–5 percent.
- Market pricing for U.S. policy shifted after the report and the CME FedWatch Tool showed materially lower odds of a December rate hike compared with a week earlier.
- Indian domestic markets tracked the move with MCX gold and silver futures higher, retail gold rates up across major cities, and jewellery stocks such as Kalyan Jewellers and Titan jumping in early trade.
- Analysts cautioned the rally could reverse if the framework is not finalized on June 19 or if the Federal Reserve’s closely watched policy meeting produces signals that lift rate expectations.