Gold Futures Contracts Retreat as Geopolitical Fears Ease

Gold futures contracts on Bursa Malaysia Derivatives retreated on Tuesday, driven by a decrease in geopolitical risks and a shift in investor focus towards monetary dynamics. With the US President's ceasefire deal between Israel and Iran holding, investment manager Stephen Innes from SPI Asset Management noted that markets have reduced the geopolitical risk premium from crude and gold prices. Innes also stated that while global tensions persist, they are not intensifying, with lower risk levels providing steady support for gold prices.

Key Takeaways:

Gold futures contracts on Bursa Malaysia Derivatives retreated on Tuesday due to eased geopolitical fears and a shift in investor focus towards monetary dynamics.
The spot-month June 2025 contract fell to US$3,323.4 per troy ounce from Monday's US$3,368.6.
Trading volume surged to 88 lots versus 38 lots on Monday's close, and open interest advanced to 112 contracts from 59 contracts yesterday.
Investment manager Stephen Innes from SPI Asset Management noted that global tensions are not intensifying, with lower risk levels providing steady support for gold prices.
Physical gold was priced at US$3,380.55 per troy ounce, according to the London Bullion Market Association's afternoon fix on June 23.
The US President's ceasefire deal between Israel and Iran has reduced the geopolitical risk premium from crude and gold prices.

Statistics:

Gold futures contracts on Bursa Malaysia Derivatives retreated by 1.1% on Tuesday.
The spot-month June 2025 contract fell by US$45.2 per troy ounce (1.3%).
Trading volume increased by 132.6% on Tuesday compared to Monday's close.
Open interest advanced by 90.2% on Tuesday compared to yesterday.
Physical gold was priced at US$83.05 above the August, September, and October 2025 futures contracts.

Sources:

BERNAMA News Agency
SPI Asset Management
Bursa Malaysia Derivatives
London Bullion Market Association