Gold dipped a bit on Tuesday, buoyed by the geopolitical tensions in the Middle East, while attention lingered on the possibility that Fed may cut interest rate.

The yellow metal soared earlier on Monday following Israel’s attacks on Rafah, un expected step that hindered the undertaken ceasefire discussions.

Gold was also bolstered by projection of rate trim after slower than predicted NFP figures that released earlier on Friday, which drove a sharp slid in the greenback. However, the US dollar nudged up on Tuesday.

Spot gold slumped by 0.1% to $2,322.65 per ounce, while gold futures muted at $2,330.95 per ounce.

Israel’s attack on Rafah implied for spiked tension with Hamas. The action boosted gold safe haven demand, supporting the yellow metal to rebound over the $2,300 level.

The yellow metal lingered over $100 below record peaks touched in April, back then when the projected escalated war between Israel and Iran drove up demand on safe haven. However, gold then witnessed a steep drop as disruptions between both parties eased.