Gold opens June 1 at $4,535 per ounce, and across the border from Iraq a new number has entered the peace negotiations that changes the calculus for the entire region: $270 billion. That is the figure an Iranian official cited this weekend as the total direct and indirect damage the US-Israel war has inflicted on Iran. Iranian President Pezeshkian said reparations — compensating Iran for that damage — are “the only way” to end the conflict. Iran is also seeking the release of frozen assets held by the US, worth tens of billions of dollars.
For Iraq, this number carries both a warning and an opportunity. The warning: any peace deal that includes large-scale reparations or asset releases to Iran will need to be funded somehow, potentially through oil revenue commitments that could affect Gulf energy pricing for years. The opportunity: a post-war Iran with $270 billion in reconstruction needs is the largest infrastructure and rebuilding market in the region — and Iraq, as Iran’s neighbour with deep cultural, commercial, and human ties, is perfectly positioned to participate in that reconstruction economy.
The ceasefire framework agreed this weekend — Iran de-mines Hormuz within 30 days, ceasefire extended 60 days, nuclear talks begin separately — is the most concrete step toward resolution since the war began on February 28. For Iraq’s energy sector, Hormuz reopening is transformational. The strait carries Iraqi oil exports to Asian markets. Every day it is closed, Iraq pays in reduced buyer access, elevated insurance premiums, and disrupted shipping logistics. The de-mining commitment ending within 30 days is a direct timeline for Iraq’s oil export normalisation.
For Iraqi gold buyers and investors, today’s price of $4,535 per ounce remains 34.3% above where it was one year ago and 18.9% below January’s all-time high of $5,595. Goldman Sachs targets $5,400 by year-end. The ceasefire framework announced this weekend is the catalyst that makes that target achievable within 2026. Former Fed Chair Powell speaks today — his words will either reinforce or soften the hawkish rate narrative that has been suppressing gold since May. ISM Manufacturing data also releases today. The most packed week in markets all year is underway.
For Iraqi families who have maintained the discipline of gold ownership through 95 days of regional war, the framework announced this weekend is the signal that patience is beginning to be rewarded. The war next door is not over. But for the first time since February 28, there is an agreed roadmap to Hormuz reopening — and that roadmap has a 30-day clock.
Today’s prices: 24K — $145.71/gram | 22K — $133.57/gram | 21K — $127.50/gram All prices USD. Indicative only. Please confirm in store.
