Key keywords: gold price, Donald Trump, Iran ceasefire extension, Middle East peace talks stall, safe haven assets, commodity trading, geopolitical risk, US-Iran relations Gold prices held steady at around $2,382 per ounce during Wednesday’s trading session, after the Trump administration announced a 72-hour extension to the temporary ceasefire agreement with Iran, while indirect peace negotiations hosted in Doha, Qatar hit a major impasse over core policy demands. The original 7-day ceasefire, which took effect on May 12, was set to expire on Wednesday evening. Senior White House officials stated the extension was intended to leave additional room for negotiators to resolve outstanding disagreements, but multiple sources close to the talks confirmed that the two sides remain deeply divided on three key issues: permanent limits on Iran’s uranium enrichment activities, full rollback of post-2018 U.S. sanctions on Iran’s energy and banking sectors, and binding commitments from Iran to halt military support to Houthi forces in Yemen. Prior to the announcement of the stalled talks, market analysts had priced in a 1.2% to 1.8% drop in gold value if a permanent peace deal was reached, as investors would likely move away from safe haven assets toward higher-risk equities and bonds. However, the combination of the short-term ceasefire extension and lack of progress in negotiations erased all pre-announcement sell orders, ending a three-day consecutive decline in gold prices. “Geopolitical risk premium remains firmly embedded in gold’s current valuation,” said Maria Gonzalez, head of commodity strategy at Standard Chartered. “The ceasefire extension removes the immediate risk of military escalation in the Persian Gulf, but the stalled talks mean there is no clear medium-term path to de-escalation. Most institutional investors are holding onto their gold positions rather than offloading them, as the risk of negotiations collapsing entirely remains very high over the coming week.” Supporting gold’s steady performance, the U.S. dollar index dipped 0.2% on Wednesday, making dollar-denominated gold more affordable for international buyers, while Brent crude prices rose 0.8% on lingering concerns over potential Middle East oil supply disruptions. Holdings of the world’s largest gold-backed ETF, SPDR Gold Trust, remained flat on Wednesday after three consecutive days of outflows, signaling widespread investor caution ahead of further negotiation updates. Market analysts note that gold could test the $2,420 resistance level if talks fail to progress before the extended ceasefire expires, or drop to the $2,315 support level if a preliminary peace framework is announced.