New York: The price of gold decreased around 1.5% on Tuesday as geopolitical tensions eased in the Middle East region.

According to Anadolu Agency, the ounce price of gold dropped by 1.46% to $3,318.60 as of 1000 GMT following the announcement of a ceasefire between Iran and Israel. The ceasefire was announced by US President Donald Trump early Tuesday, marking a significant development in the ongoing conflict.

The conflict began on June 13, with Israeli strikes targeting Iranian military and nuclear sites. Iran responded by launching hundreds of missiles and drones at Israel. The situation further escalated when the US intervened by bombing nuclear facilities in Iran. In retaliation, Iran launched a barrage of missiles at the US military's Al Udeid Air Base in Qatar on Monday.

During the period of heightened tensions, commodity prices, particularly oil and gold, saw significant increases. The easing of tensions has now led to a decrease in gold prices, reflecting the market's response to the geopolitical developments.