JOHANNESBURG - Gold rebounded more than 4 percent to trade above $4,870 an ounce after a sharp sell-off, driven by Kevin Warsh’s Fed chair nomination and CME Group’s higher margin requirements.
The metal had plunged nearly 5 percent in the previous session, its steepest one-day drop in over a decade. Spot gold recovered 2.2 percent to $4,767 an ounce after touching a one-month low.
Bullion hit a record $5,594 earlier this year.
US gold futures for April climbed 3 percent to $4,791.
Sentiment lifted after Trump unveiled a deal with India.
US tariffs on Indian goods have been reduced to 18 perccent in exchange for India ending its purchases of Russian oil.
US and Iranian officials meet on Friday to de-escalate regional tensions.