Gold Prices Slide Amid Inflation Uncertainty, Brent Crude Surges

Gold prices declined on Friday after reaching a 10-week high earlier in the week due to investors taking profits from the strong rally. The price drop was also influenced by uncertainty surrounding inflation and Federal Reserve policy, exacerbated by renewed tensions around the Strait of Hormuz.

Brent crude oil prices rose above $88 a barrel this week, increasing more than 5% as the US increased economic pressure on Iran to reopen the Strait of Hormuz. Treasury Secretary Scott Bessent stated that Washington would impose unprecedented economic measures while maintaining its naval blockade of Iranian ports.

Copper futures fell to around $6.55 per pound, nearing two-week lows due to elevated prices discouraging buyers in top consumer China.