Gold Rises Amid Falling Oil Prices, Despite Weekly Decline

Gold prices rose on Friday amid falling oil quotations, but the precious metal is still headed for a weekly decline. The spot price of gold increased by 0.6% to $4,339.46 per ounce as of 11:05 GMT.

Ole Hansen, head of commodity strategy at Saxo Bank, attributed the rise in gold prices to weaker oil prices and hopes for the outcome of a meeting between ministers of the Gulf Cooperation Council countries and Iran regarding the passage of oil through the strait.

The US consumer price inflation report was due to be released on Friday, which could affect expectations for the Federal Reserve's further monetary policy. A rate hike by the Fed would increase inflation risks and reduce the appeal of gold, as it does not generate interest income.