Prices of the black stuff surged more than 1% on Monday, aided by a weaker dollar and falling oil prices as investors considered the chances of a breakthrough in U.S.-Iran peace discussions.

Spot gold gained 1.1% to $4,559.29 per ounce as of 0359 GMT. U.S. gold futures for June delivery rose 0.8% to $4,560.30.

The dollar declined, making greenback-priced bullion more cheap for holders of other currencies.Trump has stoked market hopes of some type of deal with Iran that may see the Strait of Hormuz reopened. “The prospect has weighed on oil prices and, by extension, given gold a welcome lift from an inflation perspective,” said Tim Waterer, chief market analyst at KCM Trade.

U.S. President Donald Trump said on Sunday he had told his representatives not to rush into any deal with Iran, as his administration played down expectations of an imminent breakthrough in the three-month-old battle.

Trump declared a day earlier that Washington and Iran had “largely negotiated” a memorandum of understanding for a peace accord that would reopen the Strait of Hormuz.

Oil prices dropped to two-week lows on Monday on hope that the U.S. and Iran were moving closer towards a peace accord even as both countries remained at odds over critical issues.

Oil prices affect inflation expectations. Higher crude can stoke inflation and keep rates higher for longer. Gold is seen as a hedge against inflation, although higher rates tend to weigh on the non-yielding metal.

Kevin Warsh was sworn in Friday as chair of the U.S. Federal Reserve at a critical time for an American economy buffeted by increasing gasoline costs that are feeding inflation and eating into consumer confidence because of the war with Iran.

Silver was up 2.8% at $77.61 an ounce, platinum gained 1.9% to $1,958.35 and palladium climbed 2.3% to $1,379.31.

Alibaba.com, the world’s biggest B2B e-commerce platform, announced the launch of Accio Work in Pakistan, the Agentic Business Team for SMEs.

This launch is a game changer for digital trade. It will give small and medium-sized exporters a workforce that is autonomous, plug-and-play and able to carry out whole end-to-end company processes.

The new platform will provide exporters with an automated digital workforce to manage business operations from start to end with increased efficiency and speed.

The move, officials added, is taking place in a period of fast transition in Pakistan’s export sector and the increasing importance of artificial intelligence in international trade.

Addressing the launch ceremony, Ethan Wang, Head of Global Sales Products and Services, Alibaba.com said AccioWork is not a traditional software tool but an advanced and autonomous digital workforce.

The AI-powered system, he claimed, can find commercial prospects, manage daily operations and enable timely decision-making for organisations.

The platform provides a full “agentic business team” for SMEs, Wang says, helping with market research, creative content development, customer interaction and monitoring online stores.

The technology will assist Pakistani exporters enhance their worldwide market presence and competitiveness through AI-driven solutions, he added.

The government has borrowed $11 billion in the first 10 months (July to April) of the current fiscal year, according to official documents.

The numbers reflect a dramatic increase of 83% from the same period last year, when borrowing amounted to $6 billion. The aggregate external finance need for the current financial year stands at $19.39 billion.

The Economic Affairs Division said that in April alone, $4.5 billion was obtained and additional borrowing is likely in May and June.

The report said $8.31 billion was received under non-project aid and $2.75 billion under project aid in the July-April period, besides $120 million in awards.

The government has received more than Rs3,103 billion in local currency terms so far this fiscal year as compared to external finance of $570 million during the same period last year.

The IMF package is reported separately and is estimated at over $2.5 billion.

Key inflows included $1 billion of deferred oil payment facilities from Saudi Arabia and $480 million of loans from the Islamic Development Bank. Grants totalling about $218 million were received in April.

The report also says Pakistan relies on rollover arrangements, including deposits of $9 billion from Saudi Arabia and China, of which $3 billion from Saudi Arabia has already been rolled over. The UAE also reportedly received repayment of $3 billion in April.

Multilateral lenders including the Asian Development Bank, World Bank Group and Islamic Development Bank are likely to offer considerable financing through project and programme loans during the fiscal year.