Gold rises but poised for first weekly decline in five weeks
Gold edged higher on Friday, with spot prices reaching $4,721.15 an ounce, up 0.6% at 01:41 p.m. ET. Earlier in the session the metal had surged more than 1%, yet it is down over 2% for the week, putting it on track for its first weekly decline in five weeks. The movement reflects persistent inflation concerns and the ambiguous situation surrounding the US‑Iran confrontation.
U.S. gold futures for June delivery closed 0.4% higher at $4,740.90. The precious metal had slumped throughout March as the conflict bolstered the dollar and heightened inflation fears, dampening demand. Recently, fighting has stalled, the Strait of Hormuz remains closed, and investors are reacting to statements from President Donald Trump, which have tempered hopes for a diplomatic settlement.
Iranian Foreign Minister Abbas Araqchi was slated to meet in Islamabad on Friday to discuss restarting peace talks with the United States, but sources say no meeting with US negotiators took place. Meanwhile, Israel and Lebanon extended their cease‑fire for three weeks. Analysts note that the market is driven by headlines, with any sign of a peace agreement temporarily supporting gold, while rising oil prices and higher Treasury yields increase the opportunity cost of holding the metal.
