Ceasefire & Treasury Appointment add to Gold’s decline

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Gold (XAU/USD) plunged during Monday’s US session, dropping nearly 3.5% from its recent peak following reports from Axios that Israel and Hezbollah may have agreed to a ceasefire.

Gold has fallen below key technical levels, trading under its 200-, 100-, and 50-day Simple Moving Averages after recently peaking around $2,720.

Possibly adding to the downward pressure is President-elect Donald Trump’s announcement of Scott Bessent, as the new Treasury Secretary. While Bessent is seen supporting Trump’s protectionist and tax-cutting policies, investors expect his appointment may temper the impact of proposed tariffs.

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