Gold Edges Up as Brent Crude Retreats from $100

Gold prices inched up on Friday as Brent crude oil retreated from its recent high above $100 per barrel. Investors assessed developments in the Middle East conflict, which could impact inflation and interest rates ahead of the U.S. Federal Reserve's policy meeting next week.

The spot gold price rose 0.1% to $4,052.78 per ounce by 4:10 p.m. EDT (2010 GMT), after falling about 2% in the previous session. U.S. gold futures for August delivery settled 0.5% higher at $4,070.80.

Tai Wong, an independent metals trader, said that gold feels ready to move back higher if the Fed keeps rates unchanged next week.

Bullion has fallen about 23% since the U.S.-backed war with Iran began in late February, pressured by expectations that war-driven inflation could keep interest rates higher for longer. Investors now await the outcome of the Federal Reserve's policy meeting next week, when it is largely expected to keep rates unchanged.