Gold prices closed higher on Friday, extending a recovery that has seen the precious metal rebound from recent lows.
The rally was fueled by a weakening US dollar and declining yields on US Treasury bonds, as investors rotated into safe-haven assets.
This move marks a reprieve for precious metals after they posted their worst quarterly performance in years, with Wednesday's session already showing signs of a sentiment shift.
The market is currently weighing the escalation of hostilities in the Middle East, which is fueling inflationary fears and driving demand for security.
At the same time, expectations of a more restrictive Federal Reserve policy are influencing the broader macro environment.
The combination of geopolitical risk and shifting rate expectations has provided a tailwind for gold, offsetting earlier weekly declines.