Gold Surges to $2,340 on Fed Uncertainty and Iran Tensions

Gold prices have rallied 1.2% to $2,340/oz as traders position ahead of today's Federal Reserve decision amid escalating Israel-Iran tensions. The precious metal benefits from dual catalysts: geopolitical safe-haven demand and expectations the Fed may signal a dovish pivot. Markets are pricing a 65% probability of a September rate cut, supporting non-yielding gold. EUR/USD trades at 1.0750, finding support from dollar weakness, while AUD/USD dropped 0.3% to 0.6650 on risk-off sentiment. The DXY index fell 0.2% to 105.80 as investors await Fed Chair Powell's press conference for rate path clarity. Gold's technical picture shows strong momentum with RSI at 68, approaching overbought territory. Immediate resistance lies at $2,350 (April high), with support at $2,320. A hawkish Fed surprise could trigger profit-taking, while dovish signals may propel prices toward $2,375.