Gold drops to one-week low amid growing expectations of interest rate hikes

Gold prices declined to close to their lowest levels in a week, influenced by escalating tensions between the United States and Iran, as well as rising prospects of an interest rate hike by the Federal Reserve. The escalation of military operations between the two sides led to an increase in oil prices, fueling inflation concerns and reducing gold's appeal as a safe haven, amid expectations of a higher likelihood of future rate hikes.

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