Gold fell and oil rose on Monday after President Trump rejected Iran's latest offer in the standoff over the Strait of Hormuz, Anadolu news agency reports.
Brent crude stood at around $107 a barrel at 06:40 GMT, up 2.6%. US crude traded at around $94, up 1.5%. Gold fell 2.6% to around $4,170 an ounce.
Iran had offered to keep the strait open for seven days and resume talks with the US, if Washington eased its naval blockade and sanctions. Trump called the offer unacceptable.
A week ago prices were moving the other way. Signals from Tehran that it might reopen the strait, plus the restart of Saudi Arabia's East-West pipeline to the Red Sea, had pushed Brent below $100 a barrel. After Washington's refusal, geopolitical risk crept back into prices.
Anadolu notes that in normal times a large share of world oil trade passes through Hormuz, so any limit on shipping there immediately changes supply expectations.
Expensive oil affects gold too, through inflation. Higher energy costs push up transport, production and final prices, raising expectations that the Federal Reserve will tighten policy further. Gold pays no interest, so when yields on US government bonds are high, investors lose interest in the metal.
At its last meeting in September, the Federal Reserve raised its main interest rate by 25 basis points, setting the target range at 3.75% to 4%. The decision was unanimous. The Fed says inflation remains high and it wants to bring it back down to 2%.
Investors are watching the Middle East, energy prices and the Fed's next moves all at once, since its decisions remain one of the main drivers of the gold price.
These prices are as of the time stated and could change quickly before the session ends.
Gold's drop is 2.6%, not 26% as the headline of Anadolu's report states; the figure in the agency's own text is correct.