Gold prices fell to a two-week low on Tuesday, September 1, 2026, dropping more than $300 at one point during the trading session. ^[1] Oil prices jumped more than US$4 a barrel on Tuesday, settling at a five-week high due to fears of supply disruptions from renewed fighting between the US and Iran. ^[2] Spot gold prices fell 1.8% to $4,369.24 per ounce, marking the lowest level since August 19, 2026. ^[3] The Federal Reserve President, Kevin Warsh, urged the central bank to take action against inflation during a speech in Jackson Hole, Wyoming, increasing investor expectations for higher interest rates. ^[4] US Treasury bond yields rose to their highest levels since January 2025, pressuring gold prices as investors sought higher-yielding assets. ^[5] The US launched new air strikes on Iranian targets, quashing hopes that an exchange of fire last weekend might not presage a wider renewal of hostilities. ^[6] US Central Command posted on X that forces began striking Islamic Revolutionary Guard Corps targets in Iran at 12 pm ET on Sep 1, following recent attempted attacks by the IRGC against commercial shipping in the Strait of Hormuz. ^[7] US West Texas Intermediate (WTI) crude rose US$4.46, or 5.2 per cent, to settle at US$90.22, the highest close since Jul 23. ^[8] Diesel futures in the United States reached their highest level in 52 months, having surged 51% in the last 10 weeks. ^[9] Tehran warned it would prevent Gulf oil exports despite threats from President Donald Trump and Treasury Secretary Scott Bessent regarding new sanctions. ^[10] The United States launched new airstrikes against Iranian targets, frustrating hopes that previous exchanges of fire would not signal a broader resumption of hostilities. ^[11]