Gold Holds Ground Above $4,300 Amid Fed Rate Hike Fears

Gold prices closed the week at $4,354.90 an ounce, down 1.7% from the previous week's close.

The decline comes as investors anticipate a likely Federal Reserve rate hike next week, with markets pricing in nearly a 90% chance of such a move.

Rising U.S. government debt and high bond yields are limiting the Fed's ability to aggressively raise rates, despite inflation remaining above the 2% target.

Analysts suggest that gold's support above $4,300 reflects doubts about the impact of rate hikes on the economy and growing concerns over sovereign debt risks.