Gold prices rose for the fourth consecutive trading session, reaching a seven-week high as the US dollar weakened and bond yields declined.
The price of gold climbed 1% to $4,285.84 per ounce, its highest level since June 18, according to market data.
US gold futures rose 0.9% to $4,345.80.
Market sentiment was supported by a drop in the probability of a Federal Reserve interest rate hike, which fell to 55% from 67% two days earlier.
IG Market Analyst Tony Sycamore said expectations of diplomatic progress are increasing downward pressure on oil prices, reducing the need for central banks to raise interest rates and creating strong support for gold.
An agreement under discussion between Iran and Oman, according to a high-level Iranian source and two regional officials speaking to Reuters, aims to end a US-Iran war.
Under the draft agreement, the Tehran administration would have authority to control ships entering the Gulf through the Strait of Hormuz.
In Turkey, the sale price for a quarter gold (çeyrek altın) was 10,610.00 TL, a half gold (yarım altın) was 21,201.00 TL, Cumhuriyet gold was 42,260.00 TL, and Gremse gold was 104,529.49 TL.
Gold traded at $4,266.01 per ounce in the sale price, while the intraday range was reported between $4,245 and $4,304. The price at the time of the report was $4,259. The ounce gold price started the day at $4,249. Gold prices briefly climbed above $4,300. Gram gold started the day at 6,495 Turkish Liras, with an intraday range of 6,490 to 6,585 TL.
