AGE Daily Gold Update

AGE Daily Gold Update presents a recap on today's action in the precious metals markets. View archives.

4/8/2026: Gold rallies on Iran ceasefire

Source: Bill Musgrave, American Gold Exchange

Austin — New York spot gold rallied 2% to close near $4,750 as oil and the dollar plunged on news of a ceasefire between the US and Iran. Silver surged 4.7% to finish at $75.22 an ounce.

President Trump announced a two-week ceasefire between the US and Iran within hours of his deadline threat to destroy the Iranian civilization. In the meantime, Israel stepped up its bombing of Lebanon and Iran continued attacks on its Gulf neighbors. No timeline for a full reopening of the Strait of Hormuz has been agreed upon.

While tenuous, the agreement nonetheless stoked risk appetite on Wall Street, with all three major US indexes rising more than 2.4%. Global benchmark Brent crude tumbled nearly 14% to less than $95 per barrel on the prospect of increased supply because of the ceasefire.

The dollar lost 1% against major rivals, wiping out all gains for the year, as traders anticipate that falling oil prices may undercut inflation and encourage the Fed to cut interest rates this year—or at least refrain from raising them.

While gold typically trades in sympathy with oil as a hedge against energy-related inflation, the US war on Iran largely upended this correlation. Because of rapidly escalating oil prices, the Fed was increasingly expected to hold rates steady this year or even raise them.

Falling oil prices flip the script, putting rate cuts back on the table in 2026. Lower rates weaken the dollar, boosting gold by making it cheaper in other currencies. They also lower bond yields, reducing the opportunity cost for holding gold instead of bonds for safety.

Bullion has fallen 9% since the initial US attack on Iran in late February. If the ceasefire holds, the fundamentals that drove it to a series of record highs before the war—geopolitical turmoil, global de-dollarization, economic uncertainty due to erratic US trade policies, strong central bank buying—should be able to reassert themselves.

Platinum and palladium climbed 6.3% and 8.6%, respectively.

At the New York spot close: gold gained $92.40 to $4,749.50; silver surged $3.40 to $75.22; platinum rose $121.45 to $2,050.60; palladium climbed $125.50 to $1,587.05 an ounce.