Gold falls for third day as US launches fresh strikes on Iran

Published Thu, Jun 11, 2026 · 07:41 AM

[SINGAPORE] Gold fell for a third day after the US launched fresh strikes against Iran, threatening to extend the war that’s roiled global markets and stoked inflation fears.

Bullion dropped as much as 0.9 per cent to near US$4,036 an ounce in early trading, having lost 4.4 per cent in the previous session. The US military said that it had fired missiles at “multiple” targets in Iran after US President Donald Trump accused the Islamic Republic of dragging out talks on an interim peace deal. Teheran said that its armed forces had the ability to strike back.

The latest attacks underscored Trump’s growing impatience that the two sides have failed to reach an agreement. Now in its fourth month, the war has disrupted energy flows via the Strait of Hormuz, causing oil prices to rise and raising the likelihood of interest-rate hikes as central banks try to keep inflation in check.

US inflation accelerated in May to the fastest pace in more than three years as the war pushed up energy prices, outstripping Americans’ pay gains. The consumer price index climbed 0.5 per cent from April and 4.2 per cent from a year earlier, the most since early 2023, according to Bureau of Labor Statistics data out Wednesday (Jun 10).

Gold is more than a fifth below where it was trading before the Iran war broke out at the end of February. The metal’s recent decline through its 200-day moving average, a widely watched measure of long-term momentum, has triggered additional selling as it’s seen as an important level watched by institutional investors.

Spot gold fell 0.9 per cent to US$4,036.66 an ounce at 6.25 am in Singapore. Silver slid 1.4 per cent to US$62.46 an ounce. Platinum and palladium also retreated. BLOOMBERG