Gold prices rose slightly on Tuesday, as they continue to await further positive momentum to regain their upward trend in the near term. If the yellow metal finds positive momentum, it could break the daily pivot point of $4,066 then test resistance levels at $4,083 and $4,103. On the downside, if the price retreats, it could fall toward support levels near $4,030 then $4,008.
Global markets remained on edge on August 4, 2026, as geopolitical developments and shifting investor sentiment drove price action across key asset classes. Conflicting statements from Washington and Tehran over the status of U.S.-Iran talks fueled uncertainty in the Middle East, helping Brent crude recover after a sharp selloff in the previous session. At the same time, the U.S. dollar extended its gains for a second consecutive day, supported by safe-haven demand and expectations that the Federal Reserve will maintain a cautious monetary policy stance. Together, these developments underscore the close link between geopolitics, energy markets, and global currency movements.
Market Watch
Trump: Talks with Iran Are Underway, Tehran Denies the Claim
U.S. President Donald Trump said that the United States is engaged in talks with Iran, describing them as a “last chance” to reach an agreement amid rising regional tensions, particularly around the Strait of Hormuz.
However, Iran firmly denied Trump’s statement. A spokesperson for Iran’s Foreign Ministry said that Tehran is not holding any direct or indirect negotiations with Washington, adding that its current contacts are limited to discussions with Oman regarding maritime security and developments in the Strait of Hormuz.
The conflicting statements underscore the continued uncertainty surrounding diplomatic efforts between Washington and Tehran, as regional security tensions remain high and concerns grow over their potential impact on global shipping routes and energy markets.
Brent Crude Rises 1% After Falling More Than 7% in the Previous Session
Brent crude oil prices rose about 1% in Tuesday’s trading after posting their steepest daily decline in months, with prices dropping more than 7% in the previous session amid heightened volatility in global energy markets.
The rebound was supported by ongoing geopolitical uncertainty in the Middle East, particularly following conflicting statements over potential U.S.-Iran talks, as well as continued concerns about maritime security in the Strait of Hormuz, a key global oil shipping route.
Brent crude futures gained around 1.2% to trade near $84.8 per barrel, while U.S. West Texas Intermediate (WTI) crude also edged higher. Market analysts said oil prices remain highly sensitive to political and security developments that could affect global supply, keeping volatility elevated in the near term.
U.S. Dollar Index Heads for a Second Consecutive Session of Gains
The U.S. Dollar Index (DXY) extended its gains for a second consecutive session on Tuesday, supported by increased demand for the U.S. currency as a safe-haven asset amid ongoing geopolitical tensions in the Middle East. Investors also remained focused on upcoming U.S. economic data that could provide further clues about the Federal Reserve’s monetary policy outlook.
The dollar’s advance coincided with higher U.S. Treasury yields, while major currencies, including the euro and the Japanese yen, came under pressure against the greenback.
Market analysts said persistent geopolitical uncertainty, combined with expectations that the Federal Reserve may keep interest rates higher for longer, continues to support the U.S. dollar in the near term. Investors are expected to closely monitor upcoming economic releases and geopolitical developments for further direction.
Looking Ahead
Markets are awaiting the release of the U.S. JOLTS Job Openings report, which is expected to provide fresh insights into the health of the labor market and offer further clues about the outlook for interest rates. Investors will be closely monitoring the data for signs of changes in labor demand, as a stronger-than-expected reading could signal continued economic resilience, while a weaker figure may reinforce expectations of a cooling job market and influence the Federal Reserve’s policy path.