French PM Opposes Calls to Go back to 62 as Retirement Age

 France's Prime Minister Francois Bayrou visits the plant of French rolling stock manufacturer Alstom in Aytre near La Rochelle, western France, on March 14, 2025. (AFP)
France's Prime Minister Francois Bayrou visits the plant of French rolling stock manufacturer Alstom in Aytre near La Rochelle, western France, on March 14, 2025. (AFP)
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French PM Opposes Calls to Go back to 62 as Retirement Age

 France's Prime Minister Francois Bayrou visits the plant of French rolling stock manufacturer Alstom in Aytre near La Rochelle, western France, on March 14, 2025. (AFP)
France's Prime Minister Francois Bayrou visits the plant of French rolling stock manufacturer Alstom in Aytre near La Rochelle, western France, on March 14, 2025. (AFP)

Prime Minister Francois Bayrou on Sunday rejected the idea of reverting to 62 as the basic retirement age in France, appearing to narrow options for unions and employers negotiating changes to an unpopular pension reform.

Bayrou, who heads a fragile minority government, agreed to reopen discussion of the 2023 reform, including the contested measure to raise the retirement age from 62 to 64 years, to help secure tacit support in parliament from opposition Socialists.

He tasked union and company representatives to discuss changes, saying all options were on the table provided proposals would ensure a funding deficit would be plugged.

Asked in an interview on France Inter radio if it was possible to go back to retirement at 62, he said, "No."

"The representatives in the social conference know very well what the numerical situation is and which I asked the Court of Accounts to set out," Bayrou said, referring to a report by France's audit office projecting future deficits even after the 2023 reform.

At the same time, he did not see retirement age as the only path for reforming the pension system, he said.

If unions and employers fail to agree to proposals, the government plans to proceed with implementing the 2023 reform.



Gold Steady as Market Eyes Middle East Conflict, Fed Decision

FILE PHOTO: An employee places ingots of 99.99 percent pure gold in a workroom at the Novosibirsk precious metals refining and manufacturing plant in the Siberian city of Novosibirsk, Russia, September 15, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: An employee places ingots of 99.99 percent pure gold in a workroom at the Novosibirsk precious metals refining and manufacturing plant in the Siberian city of Novosibirsk, Russia, September 15, 2023. REUTERS/Alexander Manzyuk/File Photo
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Gold Steady as Market Eyes Middle East Conflict, Fed Decision

FILE PHOTO: An employee places ingots of 99.99 percent pure gold in a workroom at the Novosibirsk precious metals refining and manufacturing plant in the Siberian city of Novosibirsk, Russia, September 15, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: An employee places ingots of 99.99 percent pure gold in a workroom at the Novosibirsk precious metals refining and manufacturing plant in the Siberian city of Novosibirsk, Russia, September 15, 2023. REUTERS/Alexander Manzyuk/File Photo

Gold prices were steady on Tuesday as investors assessed the conflict between Israel and Iran and looked ahead to this week's US Federal Reserve's policy meeting.

Spot gold was steady at $3,383.01 an ounce, as of 0851 GMT US gold futures fell 0.5% to $3,401.30.

Israel and Iran exchanged attacks for a fifth consecutive day on Tuesday, Reuters reported.

US President Donald Trump urged an evacuation of Iran's capital Tehran and cut short his trip to the G7 summit in Canada. A separate report said he had asked for his administration's National Security Council to be prepared in the situation room.

"Markets are waiting for the latest signals whether hostilities between Israel and Iran would escalate or will remain contained," said Han Tan, chief market analyst at Exinity Group.

"Gold still retains its bias for lurching upwards on signs of a worsening Middle East conflict, given the precious metal's stature as the preferred safe haven of late."

Zero-yield bullion is considered a hedge against geopolitical and economic uncertainty and tends to thrive in a low-interest environment.

The US central bank rate decision and Chair Jerome Powell's remarks are due on Wednesday. Traders are currently pricing in two cuts by the end of the year.

Meanwhile, Citi lowered its short-term and long-term price targets for gold, projecting prices could drop below $3,000 per ounce by late 2025 or early 2026, driven by declining investment demand and an improving global growth outlook, it said in a note on Monday.

Elsewhere, spot silver was up 0.3% at $36.45 per ounce, platinum was unchanged at $1,246.59, while palladium fell 0.4% to $1,025.44.