Gold climbs amid easing inflation fears

May 08, 2026 (MLN): Gold prices edged higher on Friday, putting the precious metal on track for a weekly advance as concerns over inflation and rising interest rates continued to subside.

Currently, spot gold is up at $4,726.63 an ounce as of [11:48 am] PST, according to data reported by Mettis Global.

Investors remained cautiously hopeful about a potential U.S.-Iran peace agreement, even as fresh hostilities rattled markets.

Tensions flared on Thursday when the two nations exchanged fire in the most significant breach of their month-long ceasefire to date. However, Iran signaled a return to stability, while Washington indicated it had no intention of letting the situation spiral further, according to CNBC.

Since the conflict erupted in late February, gold has shed more than 10% of its value, largely weighed down by surging oil prices.

Elevated crude costs tend to fuel inflationary pressures, raising the prospect of tighter monetary policy  a headwind for gold, which offers no yield and typically struggles in high-interest-rate environments despite its reputation as an inflation hedge.

Oil markets held relatively steady on Friday, with Brent crude futures slipping just 0.02%, to $101.77 per barrel.

Attention now turns to the upcoming U.S. monthly jobs report, which investors will scrutinize for clues about the Federal Reserve's next steps on interest rates.

Elsewhere in metals markets, spot silver jumped 1.6% to $79.74 per ounce, platinum advanced 1.3% to $2,048.08, and palladium gained 1.2% to trade at $1,498.62.

Copyright Mettis Link News