Gold traded near $4,100 an ounce on Tuesday after falling 4% in the previous session, pressured by higher oil prices, rising Treasury yields and expectations for further Federal Reserve tightening. Uncertainty over US-Iran negotiations increased after President Donald Trump rejected Tehran’s latest proposal and Iranian officials reportedly expressed doubt that an agreement could be reached before the US midterm elections in November. Markets are pricing roughly a 70% probability of a Federal Reserve rate increase in October, after the central bank delivered its first rate hike in three years earlier this month. Investors are focused on Wednesday’s PCE inflation report and Friday’s nonfarm payrolls data for clues about the policy outlook. Earlier, President Donald Trump said US officials had spoken with mediators on the 28th local time in an effort to end the US-Iran conflict.