Gold jumps over 2% as US-Iran peace deal boosts bullion demand

Gold prices jumped 2.04% to Rs 1.5 lakh per 10 gm in Mumbai spot markets on Monday, with silver surging 3.71% to Rs 2.51 lakh per kg, after the US and Iran announced an interim peace framework halting hostilities and reopening the Strait of Hormuz. The prospect of increased oil supplies eased energy-driven inflation fears, moderating expectations of further Fed tightening, with markets now pricing roughly a 49% probability of a December rate hike versus nearly 70% a week ago. Indian jewellers reported strong footfalls as consumer sentiment improved on hopes that economic uncertainties would wane once the deal is formalised.