Gold partially recovered from a two-day decline after US President Donald Trump extended a ceasefire with Iran and gave more time for a new round of peace talks, Bloomberg reports.

After falling more than 2% in the previous trading session, gold prices rose 0.8% to more than $4,755 an ounce Wednesday morning.

Trump had said he would postpone further strikes on Iran until the latter submits a new proposal, " and discussions are concluded, one way or the other."

But the Strait of Hormuz remains closed to shipping, as Iran says it will not reopen this vital waterway as long as the US continues to blockade the Islamic Republic and ships traveling from it.