Gold Rises Amid Oil Retreat, Fed Rate Hike Fades

Gold prices surged on Friday, gaining 0.89% as oil prices retreated despite concerns over supply shortages and a recent rate hike by the Federal Reserve (Fed). The yellow metal had reached a nearly two-month low of $4,235 before rebounding to trade at $4,379.

The US Dollar Index (DXY) remained almost flat at 100.29, with West Texas Intermediate (WTI) trading subdued. This capping the Greenback's advance and allowing Gold to remain bid despite lingering pressure from near-5% yields.

Recent tensions in the Middle East, including attacks on oil pipelines, have contributed to increased uncertainty and a boost for safe-haven assets like Gold. The US 10-year Treasury yield rose nearly six basis points to 4.996%, influenced by the Fed's rate hike.