Gold prices fell Thursday from a two-week high, as oil prices continued to rise due to escalating Middle East tensions. Investors await next week's U.S. Federal Reserve meeting for clues on interest rate direction. Spot gold settled at $4132.01 per ounce,
down from $4165.87, its highest since July 7. U.S. gold futures for August delivery also dipped 0.4% to $4134.60 per ounce. These shifts coincided with oil prices hitting a six-week high, driven by ongoing U.S. strikes on Iran and increased risks
to regional oil shipping. Meanwhile, the U.S. dollar declined 0.1%, while two-year Treasury yields jumped to a 17-month peak. This reflects fears that higher energy prices could fuel inflation, bolstering prospects for rate hikes. Focus remains on the upcoming Federal Reserve meeting.
Expectations are for unchanged interest rates, though markets still price in at least one hike before year-end. Among other precious metals, spot silver rose 0.3% to $59.90 per ounce, platinum climbed 0.7% to $1656.24, and palladium gained 0.8% to reach $1301.25
per ounce.
