Gold holds steady as traders gauge economic impact of Middle East war

Synopsis

Gold prices held steady on Friday. Investors are watching the escalating Middle East conflict. This situation impacts the global economy. Spot gold remained firm. US gold futures saw a slight increase. The dollar weakened, making gold cheaper for some buyers. Geopolitical uncertainty has driven gold up significantly this year. Investors await key US employment data later today.

Gold prices were largely steady on Friday, after dropping more than 1% in the previous session, as investors stayed on the sidelines assessing the impact of a widening Middle East conflict on the global economy.

FUNDAMENTALS

Spot gold held its ground at $5,076.09 per ounce, as of 0116 GMT. ‌U.S. gold ⁠futures for ⁠April delivery were up 0.1% at $5,084.50.

* The dollar edged lower, making greenback-priced bullion less expensive for holders of other currencies.

* On the sixth day of war, Iran launched a series of attacks on Israel, the United Arab Emirates and Qatar.

* U.S. Defense Secretary Pete Hegseth and Admiral Brad Cooper, who leads U.S. forces ⁠in the ‌Middle East, said that the U.S. has enough munitions to continue its bombardment indefinitely.

* The U.S.-Israeli military campaign against ⁠Iran launched on Saturday has struck targets across the country and triggered Iranian retaliation.

* Global energy prices soared as the war disrupted supplies and shipping, prompting some major Middle Eastern producers to cut production.

* Bullion, traditionally viewed as a safe-haven asset, has risen about 18% so far this year, notching successive record highs amid heightened geopolitical and economic uncertainty.

* ‌U.S. data on Thursday showed initial jobless claims unchanged last week, while layoffs dropped sharply in February.

* Markets expect the Federal Reserve to ⁠keep interest rates steady at the end of its two-day meeting on March 18, according to CME Group's FedWatch tool.

* Investors now await the U.S. employment report for February, due later in the day. * Spot silver edged 0.1% higher to $82.26 per ounce. Spot platinum inched up 0.1% to $2,124.05, while palladium rose 1.1% to $1,639.78.

DATA/EVENTS (GMT)

1230 US Retail Sales MM January

1330 US Non-Farm Payrolls February

1330 US Unemployment Rate February

1330 US Average Earnings YY February

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