Middle East Diplomacy Fuels Gold Price Rally to Seven-Week High

Gold prices extended their recovery on Thursday, reaching a seven-week high of $4,304 as Middle East diplomacy eased energy-related inflation fears. The US dollar's weakness also contributed to the metal's gain.

The recent data from the United States presented a mixed economic picture. While some indicators pointed to softer demand, others showed strong activity and persistent price pressure. The JOLTS job openings, factory orders, and ADP employment figures suggested a slowdown in demand, but the ISM services and manufacturing data indicated otherwise.

The upcoming US payrolls data will be crucial for determining the next move in gold prices. Analysts are watching this data closely to see if it can trigger a breakout towards $5,000.