Gold rises on geopolitical risks, U.S. inflation eyed

March 11, 2026 (MLN): Gold prices climbed further on Wednesday as a high-stakes collision of geopolitical violence and looming economic data pushed the precious metal deeper into its upward rally.

Currently, spot gold is up 1.43% to $5,207.48 an ounce as of [9:28 am] PST, according to data reported by Mettis Global.

This latest surge brings bullion’s year-to-date gains above 20%, a testament to its enduring status as a primary refuge during periods of extreme global instability.

The immediate catalyst for the price action is a dramatic escalation of hostilities in the Middle East.

While the market remains on edge, a slight reprieve in energy costs has begun to shift the inflation narrative.

Oil prices dropped below the $90 per barrel threshold, a cooling trend that follows a bold prediction from President Donald Trump that the war with Iran would reach a swift conclusion.

Prevailing market narrative that the Trump administration might soon broker a peace deal, this military escalation has resulted in a strategic stranglehold on the Strait of Hormuz.

With tankers stranded for over a week and producers halting operations as storage tanks hit capacity, the resulting spike in energy costs has injected a new wave of volatility into global markets.

Investors are simultaneously bracing for a critical pair of U.S. inflation reports that will likely dictate the Federal Reserve's next move.

 These figures are essential for traders trying to determine if the Fed will find enough cooling in the economy to justify future rate cuts.

For now, data from the CME Group’s FedWatch tool suggests the central bank will likely maintain current interest rates when it meets on March 18, as reported by Reuters.

The broader precious metals complex showed a mixed response to the morning's tensions.

While palladium managed a 0.8% gain to $1,667.73, other industrial and luxury metals faced slight pressure.

Spot silver dipped 0.1% to $88.35 per ounce, and platinum retreated 0.5% to settle at $2,190.44.

As the week progresses, the market's focus remains split between the physical disruptions in the energy sector and the theoretical path of U.S. monetary policy.

Copyright Mettis Link News