<p>Gold prices rose on Wednesday to their highest in nearly two weeks, supported by a weaker dollar following US President Donald Trump's statement that the war with Iran could wind down in weeks.</p><p>Spot gold rose 1 per cent to 4,717.82 dollars per ounce by 0712 GMT, its highest level since March 20. US <a href="https://www.deccanherald.com/tags/gold">gold</a> futures for April delivery gained 1.4 per cent to 4,744.30 dollars.</p><p>The US dollar fell 0.4 per cent, making bullion more affordable for holders of other currencies.</p><p>Trump said Tehran did not have to make a deal as a prerequisite for the conflict to wind down and that he would provide an update on Iran in an address at 9 pm EDT on Wednesday (0100 GMT on Thursday).</p>.Silver jumps Rs 7,000, gold rises Rs 3,700 on wedding season demand.<p>"Talks that the US might wrap up the war in two to three weeks even if the Strait (of Hormuz) is not reopened reinvigorated the US equity markets (overnight) and pulled gold higher along with it," said Marex analyst Edward Meir.</p><p>Gold fell more than 11 per cent in March in its steepest monthly decline since October 2008 as elevated oil prices fuelled inflation concerns and bets of a hawkish monetary policy response.</p><p>Oil prices gained on Wednesday despite hopes of a de-escalation in the Iran conflict, as infrastructure damage is likely to keep supplies tight.</p><p>"Market remains cautious about over-interpreting the de-escalation remark as a clean pivot... We've already seen multiple rounds where talks appeared constructive before stalling," said Christopher Wong, a strategist at OCBC.</p>.Prolonged drop in gold prices can erode collateral buffers: Fitch Ratings.<p>Traders have almost completely priced out any chance of a <a href="https://www.deccanherald.com/tags/united-states">US</a> rate cut this year from about two cuts expected before the war.</p><p>While gold is often used as a hedge against inflation and geopolitical risks, high interest rates make the non-yielding bullion less attractive among investors.</p><p>"Should geopolitical tensions de-escalate further, then expectations for Fed easing could return. In such a scenario, real yields can ease, providing support for gold," said Wong of OCBC.</p><p>Spot silver fell 0.1 per cent to 75 dollars per ounce, platinum gained 1.4 per cent to 1,975.74 dollars and palladium was up 1 per cent at 1,487.26 dollars. </p>
<p>Gold prices rose on Wednesday to their highest in nearly two weeks, supported by a weaker dollar following US President Donald Trump's statement that the war with Iran could wind down in weeks.</p><p>Spot gold rose 1 per cent to 4,717.82 dollars per ounce by 0712 GMT, its highest level since March 20. US <a href="https://www.deccanherald.com/tags/gold">gold</a> futures for April delivery gained 1.4 per cent to 4,744.30 dollars.</p><p>The US dollar fell 0.4 per cent, making bullion more affordable for holders of other currencies.</p><p>Trump said Tehran did not have to make a deal as a prerequisite for the conflict to wind down and that he would provide an update on Iran in an address at 9 pm EDT on Wednesday (0100 GMT on Thursday).</p>.Silver jumps Rs 7,000, gold rises Rs 3,700 on wedding season demand.<p>"Talks that the US might wrap up the war in two to three weeks even if the Strait (of Hormuz) is not reopened reinvigorated the US equity markets (overnight) and pulled gold higher along with it," said Marex analyst Edward Meir.</p><p>Gold fell more than 11 per cent in March in its steepest monthly decline since October 2008 as elevated oil prices fuelled inflation concerns and bets of a hawkish monetary policy response.</p><p>Oil prices gained on Wednesday despite hopes of a de-escalation in the Iran conflict, as infrastructure damage is likely to keep supplies tight.</p><p>"Market remains cautious about over-interpreting the de-escalation remark as a clean pivot... We've already seen multiple rounds where talks appeared constructive before stalling," said Christopher Wong, a strategist at OCBC.</p>.Prolonged drop in gold prices can erode collateral buffers: Fitch Ratings.<p>Traders have almost completely priced out any chance of a <a href="https://www.deccanherald.com/tags/united-states">US</a> rate cut this year from about two cuts expected before the war.</p><p>While gold is often used as a hedge against inflation and geopolitical risks, high interest rates make the non-yielding bullion less attractive among investors.</p><p>"Should geopolitical tensions de-escalate further, then expectations for Fed easing could return. In such a scenario, real yields can ease, providing support for gold," said Wong of OCBC.</p><p>Spot silver fell 0.1 per cent to 75 dollars per ounce, platinum gained 1.4 per cent to 1,975.74 dollars and palladium was up 1 per cent at 1,487.26 dollars. </p>