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Spot gold was up 2% at $4,795.99 per ounce, as of 0920 GMT.
Gold prices surged to a near three-week high after a US-Iran two-week ceasefire agreement.
KEY POINTS
- The ceasefire is contingent on Iran pausing its blockade of oil and gas through the Strait of Hormuz.
- Oil prices dropped over 13% and the dollar hit a one-month low following the ceasefire news.
- Investor expectations for a US rate cut by year-end jumped from 14% to 43% in one day.
- UBS now forecasts gold could reach $5,900 per ounce by year-end due to diversification demand.
COMPANIES
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