Gold prices rose to $5,110 per ounce on Friday, recovering after a two-day decline, as the market balanced between geopolitical risk premium and inflationary pressures driven by higher oil prices. Bullion dropped as much as 1.2% to retreat to levels near $5,000 an ounce as the dollar strengthened, with upward momentum stalled since the US-Israeli war with Iran began almost two weeks ago. Gold remains on track to finish the second consecutive week lower, with forecasts suggesting movement within the $5,100–$5,200 range.
The precious metal faced headwinds from a stronger dollar and rising US Treasury yields amid heightened inflation risks caused by higher oil prices and geopolitical tensions around the US–Iran conflict fueling market volatility. President Donald Trump signaled intensified strikes on Iran to unprecedented levels, suggesting no letup in a war that’s upending energy flows and global markets. Oil prices remaining around $100 per barrel continued to underpin global inflationary pressures.
Among other metals, spot silver lost 3.3% to $81.00, platinum fell 4% to $2,047.20 and palladium shed 2.5% to $1,569.00, with all sister metals on track for weekly losses. Gold futures closed at 5,075.79 from a previous close of 5,125.80, with today’s trading range between 5,070.70 and 5,132.14. Technical indicators suggest continued pressure as safe-haven demand competes with inflation hedging needs.