Gold prices moved lower on Friday and are on track to end the week with losses as investors continue to watch developments in the Middle East and concerns about inflation.
Spot gold slipped 0.3% to $4,462.22 per ounce by 00:49 GMT. Since the beginning of the week, the precious metal has fallen around 1.6%.
Meanwhile, U.S. gold futures for August delivery dropped 0.4% to $4,489 per ounce.
Market sentiment has been affected by fading expectations of a possible peace agreement between the United States and Iran, while tensions across the Middle East remain elevated. At the same time, investors are keeping a close eye on inflation pressures and the possibility of higher interest rates, both of which have weighed on gold prices.
Despite gold’s traditional role as a safe-haven asset during times of uncertainty, concerns about inflation and the potential for tighter monetary policy have limited its gains this week.
