Gold prices dropped sharply, falling as much as 3.1% after U.S. President Donald Trump announced the extension of the ceasefire with Iran, which reduced market fears. This decline is compounded by a stronger US dollar, making gold more expensive for foreign buyers, and rising US Treasury yields, which divert investment away from non-yielding assets like gold. As of now, spot gold was reported at $4,720.04 per ounce in New York. Since the start of the conflict in late February, gold has fallen about 11% overall, as investors sold off gold to cover losses in other assets. Analysts suggest that the Federal Reserve's hawkish stance on inflation, indicated by comments from Kevin Warsh, may keep interest rates high, further pressuring gold prices. While oil prices surged past $100 per barrel, contributing to inflation concerns, the overall sentiment remains cautious, with expectations of continued volatility in the gold market.