Economic pessimism has set in – but there are reasons for Australians to be hopeful 
Oil Prices Slip as U.S.-Iran Peace Talks and Strait of Hormuz Risks Keep Markets on Edge 
Gold Prices Drop as Fed Rate Outlook and Iran Tensions Weigh on Market 
Trump Urges Gasoline Retailers to Cut Prices to $2.50 Per Gallon, Warns of Legal Action 
World Bank Approves $1.1 Billion Emergency Funding for Bangladesh Amid Food and Energy Price Pressures 
Asian Currencies Stay Range-Bound as Investors Eye China Data, RBNZ Outlook and U.S.-Iran Ceasefire 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Asian Stocks Slip as US-Iran Ceasefire Hopes Lift Oil, Dollar Strength Persists 
US Stock Futures Rise as US-Iran Ceasefire Hopes Boost Market Sentiment 
Dollar Slips Ahead of Key U.S. Jobs Data as Fed Rate Outlook, ECB, and Iran Talks Shape Forex Markets 
China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy 
Asian Stocks End Strong Quarter as Dollar Surges, Yen Hits 40-Year Low Ahead of US Jobs Data 
Japan Targets 1%+ Real Economic Growth With ¥370 Trillion Investment Plan 
Trump Threatens 100% Tariffs on Countries Imposing Digital Services Taxes on U.S. Tech Firms 
Wall Street Futures Rise Ahead of JOLTS Data, Nike Earnings, and U.S.-Iran Talks 
US Dollar Slips After PCE Inflation Data as Fed Rate Hike Expectations Stay Elevated 
Trump Questions Housing Bill as He Prioritizes SAVE America Act 
Gold prices extended their decline on Tuesday, falling to their lowest level of the year as investors reacted to growing expectations that the U.S. Federal Reserve could raise interest rates again amid persistent inflationary pressures.
Spot gold dropped 1.3% to $3,965.51 per ounce by 21:47 ET (01:47 GMT), marking its weakest level since early November. Gold futures also declined 1.5% to $3,975.92 per ounce. The precious metal has now fallen 12.8% in June, putting it on track for its worst monthly performance since 2008 and a fourth consecutive month of losses.
The decline in gold prices was driven largely by a stronger U.S. dollar and increasing confidence that the Federal Reserve will deliver at least one more interest rate hike this year. During its June policy meeting, several Fed officials maintained a hawkish stance, reinforcing expectations that borrowing costs could remain elevated for longer.
Inflation concerns also continued to pressure bullion. Although energy prices eased following a U.S.-Iran peace agreement, investors remain cautious after renewed military tensions in the Middle East over the weekend. Meanwhile, artificial intelligence-related supply constraints have fueled fresh inflation worries.
Apple recently raised prices on several devices due to higher semiconductor costs, reflecting broader supply shortages caused by surging AI-related demand. Similar price increases by other electronics manufacturers have strengthened expectations that inflation could remain persistent.
Higher interest rates typically reduce the appeal of gold because the metal does not generate interest or yield, making it less attractive compared to income-producing assets.
Other precious metals also posted sharp losses. Spot silver fell 2% to $57.1090 per ounce, bringing its monthly decline to 24.2%. Spot platinum slipped 1.3% to $1,563.25 per ounce and was down nearly 19% for June.
With the Federal Reserve maintaining a hawkish outlook and inflation risks lingering, gold and other precious metals may continue to face downward pressure in the near term despite ongoing geopolitical uncertainty.
