Metals dip as S&P, Nasdaq hit records on Iran deal hopes - Kitco PM Report

• U.S. consumer confidence fell to 93.1 in May from 93.8 in April but beat the 91.9 consensus, while home-price growth continued to cool with the Case-Shiller national index rising just 0.7% year-over-year in March
• Reports suggest a possible two-month ceasefire extension in the Iran-U.S. standoff that could reopen the Strait of Hormuz, reducing energy-inflation risks that had previously supported gold through lower real-rate expectations
• The S&P 500 rose 0.6% to 7,519.12 and Nasdaq gained 1.2% to 26,656.18, both record closes, while WTI crude settled at $93.89 and Brent at $99.58 per barrel

Market Summary: Precious Metals Decline as Equities Hit Records

Key Market Movements:

Precious metals declined Tuesday as U.S. equities reached record highs. Spot gold fell 1.38% to approximately $4,507.40 per ounce, while spot silver dropped 1.41% to near $76.975. The downturn was driven by a firmer U.S. dollar and easing Middle East tensions.

Equity Markets:

U.S. stocks posted strong gains, with the S&P 500 rising 0.6% to a record 7,519.12 and the Nasdaq Composite surging 1.2% to an all-time high of 26,656.18. The Russell 2000 advanced 1.8% to 2,920.54, while the Dow Jones edged down 0.2% to 50,461.68.

Economic Data:

U.S. consumer confidence fell to 93.1 in May from a revised 93.8 in April, though it exceeded the consensus estimate of 91.9. The Case-Shiller national home-price index rose 0.7% year-over-year in March, slowing from February's 0.8% gain.

Geopolitical Developments:

Ongoing negotiations around the Strait of Hormuz remain a key focus. Reports suggest a potential two-month ceasefire extension that could reopen the waterway and ease Iran's naval blockade. U.S. forces conducted defensive strikes on Iranian missile sites, though Tehran accused Washington of violating the seven-week ceasefire.

Technical Outlook:

Gold bulls target resistance at $4,523-$4,546, with further upside at $4,573 and $4,641. Support lies at $4,490 and $4,453. Silver resistance stands at $77.75-$78.92, with support at $76.80 and $75.00.

Other Markets:

WTI crude settled around $93.89 per barrel, while Brent crude closed near $99.58. The 10-year Treasury yield traded near 4.5%.