Bulls in the XAU/USD are retreating as markets place their hopes on a meeting between US Vice President Joe Biden and Russian President Vladimir Putin

The price of gold has been swinging back and forth in response to every headline involving Russia, Ukraine, and the latest diplomatic efforts to avert war. At the time of writing, gold is trading near $1,896, having previously ranged between a high of $1,908.32 and a low of $1,891.68.

The headlines are pouring in, but the market consensus is that a US-Russia summit will take place, which could help to defuse the situation in Ukraine. The White House has confirmed this, but with the caveat that there cannot be an invasion of Ukraine, and the US believes one is imminent. The United States announced that Russia appears to be continuing its preparations for a full-scale attack on Ukraine very soon.

Meanwhile, US Secretary of State Antony Blinken has agreed to meet Russian Foreign Minister Sergei Lavrov next week, which has calmed investor nerves and slowed demand for safe-haven assets. The White House announced that US President Joe Biden will provide an update on the Russia-Ukraine situation on Friday at 4 p.m. ET.

As the focus shifts to monetary policy at the Federal Reserve, the price of gold may soon fall back into the hands of the hawks. In this regard, ears will be to the ground for Fed speakers in the coming week. “Most attention will be focused on Governor Waller, who will discuss the US economic outlook on February 24th,” analysts at TD Securities said. “Presidents Bostic, Barkin, and Mester are also set to speak.”