Gold Set For Another Weekly Decline

(RTTNews) - Gold prices edged up on Friday after falling for a seventh session to their lowest level in two months in the previous session.

Spot gold rose by half a percent to $4,674.62 an ounce while U.S. gold futures were up 1.5 percent at $4,676.11.

The rebound comes as the dollar slipped amid hopes of easing tensions in West Asia.

Gold prices, however, remained on track for a third weekly decline, weighed down by recent dollar strength and the Federal Reserve's hawkish stance on inflation and interest rates.

Easing oil prices provided some support to bullion today after seven U.S. allies announced their support for a potential coalition to reopen the strait of Hormuz for commercial ships and oil tankers.

Meanwhile, U.S. President Trump asserted that he had no plans to commit ground forces to the U.S.-Israeli war in Iran.

Israeli Prime Minister Benjamin Netanyahu said that the country had acted alone in hitting the South Pars field, and that U.S. President Trump had asked him to hold off on such attacks in the future.

He also said that Iran has no capacity to enrich uranium or make ballistic missiles after 20 days of war, adding his country would help the U.S. reopen the Strait of Hormuz.

Growth worries returned to haunt investors, with the World Trade Organization downgrading its outlook for global trade and economic growth as the Middle East conflict lifts energy risks.

The International Monetary Fund (IMF) has flagged rising risks to global inflation and economic output.