Kuala lumpur: Gold futures on Bursa Malaysia Derivatives rose on Wednesday as the de-escalation narrative surrounding the West Asia conflict made the safe-haven metal more appealing after a recent forced selloff.

According to BERNAMA News Agency, SPI Asset Management managing partner Stephen Innes highlighted that the de-escalation narrative has enabled gold to rally back, with current trading near US$1,550 per ounce, following what was evidently a liquidation-driven selloff rather than a structural break. Innes explained, "The narrative surrounding de-escalation in West Asia has shifted from a short five-day pause to the potential for a more lasting solution, which has reduced tension in the oil market and lessened upward pressure on global yields."

Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid noted that foreign markets appeared defensive as traders and investors sought clearer signals of a de-escalation in the West Asia conflict. He pointed out that despite this, the US Dollar Index (DXY) remains below 100, currently hovering around 99.35 points, while spot gold prices are climbing, indicating that gold has not lost its appeal following a significant price correction recently.

At the close, the spot-month March 2026 contract strengthened to US$4,566.8 per troy ounce from US$4,415.9 on Tuesday. The April 2026 contract gained to US$4,586.9 per troy ounce from US$4,436.0, and the May 2026 contract firmed to US$4,607.6 per troy ounce from US$4,456.2 previously. The June, August, and September 2026 contracts also settled higher at US$4,641.5 per troy ounce compared with US$4,490.10 yesterday.

Trading volume increased to 20 lots from 11 lots on Tuesday, while open interest rose to 86 contracts from 76 contracts previously. Physical gold was fixed at US$4,413.55 per troy ounce at the London Bullion Market Association afternoon fix on March 24, 2026.