(RTTNews) - Gold prices dipped below $4,500 an ounce on Monday as U.S.-Iran negotiations appear to have stalled, with both sides exchanging messages over the weekend seeking changes to a draft agreement aimed at prolonging a ceasefire and opening the Strait of Hormuz.
Spot gold fell 0.9 percent to $4,497.08 an ounce, while U.S. gold futures for August delivery were down 1.5 percent at $4,525.92.
Investors reassessed expectations for a breakthrough in U.S.-Iran negotiations amid a renewed exchange of military strikes between the United States and Iran.
The U.S. said it conducted "self-defense strikes" on radar and command sides in Iran over the weekend.
Iran's Islamic Revolutionary Guard Corps (IRGC) said it targeted an airbase allegedly used in a U.S. attack on a telecommunications tower on Sirik Island in southern Hormozgan province.
Tehran and Washington remain at odds over the removal of highly enriched uranium and the reopening of Strait of Hormuz.
U.S. President Donald Trump said Washington is close to securing a nuclear agreement with Iran, but Tehran insisted that such matters are not presently under discussion.
Iran has reasserted its control over Strait of Hormuz, declaring that all vessels must travel through designated routes and obtain permission from the Islamic Revolutionary Guard Corps Navy.
Addressing an online parliamentary session, Iranian Parliament Speaker Mohammad Baqer Ghalibaf stressed that Iranian negotiators had no trust in the enemy's words and promises.
The Speaker said that Tehran would not agree to any deal with the U.S. until the rights of the Iranian people were secured.
Elsewhere, Israel ordered troops to move further into Lebanon, expanding its ground assault in the battle with the Iranian-backed Hezbollah militant group.
U.S. Defense Secretary Pete Hegseth has said that Washington is prepared to resume military attacks on Iran if a deal could not be reached.
The dollar was steady after a small weekly loss. Bond yields remain elevated, with Japanese bond yields reaching their highest level in 40 years following reports that the Japanese government is compiling a supplementary budget of around 3 trillion yen, or about $19 billion, to help households with the cost of living.
In upcoming economic releases, traders await speeches from several Federal Reserve officials as well as key U.S. manufacturing and May payrolls report this week for fresh clues on the Federal Reserve's rate trajectory.
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