Gold Holds Firm Near $4,400 as Trump Eases Inflation Fears
Gold prices held steady near $4,400 an ounce on Thursday after rebounding about 1% in the previous session. The metal's gain came as U.S. President Donald Trump signaled that military strikes on Iran would likely be short-lived, easing some of the inflation concerns that had weighed on bullion.
Trump's comments also helped slow oil's recent rally, which had been pushing up energy prices and feeding inflation fears. A weaker dollar, meanwhile, supported gold after a sharp rise in the Japanese yen put currency intervention back in focus.
Federal Reserve Bank of New York President John Williams added to the softer backdrop by saying that U.S. inflation is continuing to ease as the impact of tariffs fades. He also noted that higher energy prices are not spreading into other services, further tempering expectations for aggressive Fed tightening.