Gold Prices Strengthen Weekly Performance

Gold prices are maintaining their upward trend on the last day of the week, poised to record one of their strongest weekly performances since January. With gold trading above $4,200 per ounce, the recent upward momentum continues. Tensions in the Strait of Hormuz are affecting oil prices, rekindling inflation concerns. Iran's actions in the region and its stance towards US and Israeli ships are impacting energy markets. These developments are bolstering the Fed's inclination to raise interest rates, which in turn supports gold prices. The shift of Chinese investors towards gold-backed assets also contributes to the price increase. Gold tested the 6,546 lira level and is currently trading at 6,541 lira.The upward trajectory of gold prices is attributed to factors such as the Fed's interest rate hike signals and the rise in oil prices. Markets are pricing in a 25 basis point rate increase in September.