Iran's Forex, Gold in Retreat Mode

While precious metals rise in international markets, the domestic bullion market did not waver under the omnipresent influence of the currency market in Tehran.
Foreign exchange rates retreated again on Wednesday with the dollar losing more than 1.7% to reach 227,500 rials. Greenback trade has been choppy this week vacillating near the critical 230,000-rial level.
The euro was worth 277, 450 rials, almost 5,290 rials or 1.9% lower compared to the previous session. The UAE dirham bought 6,250 rials down 0.87%.
In the official exchange shops affiliated to the Central Bank of Iran the US currency was tagged at 221,790 rials or 1.6% lower by the Melli Exchange.  
Tehran’s gold market saw bigger decline despite the price rally in global markets. The Emami Gold coin dropped 3% or 3 million rials to close at 100 million rials, according to Eqtesad News website.
International gold prices have risen over $190, or nearly 12%, since falling to a nine-month trough in early March, with gains driven by a pullback in the US currency and rise in inflation expectations, as bullion is seen as a hedge against inflation, according to Reuters.
Prices edged higher on Wednesday to hover around a four-month high, helped by a weaker dollar, ahead of minutes from the US Federal Reserve’s last policy meeting that are expected to shed more light on policymakers’ views on inflation.
Spot gold was up 0.3% at $1,873.01 per ounce by 0657 GMT, after hitting its highest since Jan. 29 at $1,874.80 in the previous session. US gold futures rose 0.2% to $1,872.