Gold falls in price as tensions in Middle East ease

Gold prices fell more than 2% on April 22 as geopolitical risks eased, Report informs referring to Interfax.

Quotes for June gold contracts on the New York Comex exchange dropped by 2.4% to $2,356.5 per ounce.

Israel and Iran have exchanged blows, sparking panic over an escalating conflict in the region. However, the Iranian authorities ultimately took a rather restrained position, noting the lack of serious consequences of the Israeli attack and the need to respond with a new strike.

This development has reduced the risk premium in the market, said Nicholas Frappell of ABC Refinery.

Market participants are also waiting for new statistical data from the US. In particular, the PCE price index, which the US Federal Reserve pays special attention to when assessing inflation risks, will be released on April 26. Analysts expect the indicator to rise 2.6% in March after rising 2.5% in February.