Gold prices came under pressure on Tuesday, weighed down by a rise in the U.S. dollar amid a bond sell-off sparked by inflation concerns.
Spot gold fell 1.8% to $4,483.39/oz, while gold futures dipped 1.6% to $4,487.22/oz.
A lack of breakthroughs in diplomacy between Washington and Tehran also clouded sentiment.
President Trump said he delayed a planned attack on Iran but remains prepared for a full-scale assault if no deal is reached.
Iran sent a peace proposal, but it appeared similar to previous terms rejected by Trump.
Also weighing on gold was a global bond sell-off, with yields rising on expectations of interest rate hikes.
Higher rates increase the opportunity cost of holding non-yielding gold and strengthen the dollar.
The Federal Reserve awaits new chair Kevin Warsh. The 10-year yield hit 4.670%, and the 30-year yield reached 5.181%.
