Gold Drops as Trump Escalates Threats

SEATTLE (Scrap Monster): Gold slid toward $4,600 per ounce on Monday, extending losses from the prior session after President Donald Trump issued a fresh ultimatum to Iran and warned of strikes on its power plants and other civilian infrastructure if the Strait of Hormuz is not reopened.

Trump said he would bring “Hell” to Iran and set a new deadline for Tuesday at 8 p.m.

Eastern Time, while also indicating plans to hold a news conference at 1 p.m. on Monday.

Tehran has rejected the latest ultimatum and continues to carry out attacks on energy assets across the Middle East. Gold remains down roughly 12% since the conflict began, as surging energy prices fueled inflation concerns and strengthened expectations of interest rate hikes.

The metal has also struggled to perform its traditional safe-haven role, pressured by forced liquidations as investors moved to cover losses in other markets.

Courtesy: www.tradingview.com