Gold prices climbed above $4,720 per ounce on Friday, reaching their highest level since April 22 and heading toward a weekly gain of more than 2% as easing concerns over the US-Iran conflict improved sentiment across financial markets.
Coming to Monday 11, May, Gold trades at $ 4,673.81, after a drop as Investors reacted to renewed comments from President Donald Trump about visiting Fort Knox to verify US gold reserves, adding fresh attention to bullion markets.
The latest rally marked a sharp turnaround after gold lost more than 10% since the Middle East conflict began in late February. Earlier pressure came from surging oil prices that fueled inflation fears and raised concerns that interest rates could stay elevated for longer.
Ceasefire Signals Calm Energy Markets
Recent developments surrounding the US-Iran conflict helped stabilize investor expectations. Despite an exchange of fire earlier in the week, both Washington and Tehran indicated that the month-long ceasefire remained intact.
Iran described the situation as stable, while Trump confirmed publicly that the ceasefire was still “in effect.” Those comments eased fears of a broader escalation that could have disrupted global energy supplies even further.
Why does that matter for gold? Rising oil prices typically increase inflation pressures, which can push central banks toward tighter monetary policy. Higher interest rates often reduce the appeal of non-yielding assets like gold.
As energy markets cooled slightly, investors shifted back toward precious metals. Brent crude and WTI prices also pulled back from recent highs, helping reduce immediate inflation concerns.
Strong Jobs Report Adds Another Layer
Markets also absorbed a stronger-than-expected US jobs report released Friday.
The US economy added 115,000 jobs last month, well above forecasts for 62,000. Meanwhile, the unemployment rate held steady, signaling continued resilience in the labor market.
Normally, strong employment data can pressure gold because it supports expectations for higher interest rates. However, investors appeared more focused on geopolitical stabilization and easing oil prices.
The combination created an unusual setup. Economic growth remained intact while inflation fears eased slightly at the same time. That helped gold maintain momentum despite solid labor market data.
Trump Reignites Focus On Fort Knox
Attention also shifted toward Trump’s latest comments regarding Fort Knox and America’s gold reserves. During an interview with journalist Sharyl Attkisson, Trump repeated his interest in visiting the Kentucky military installation to personally verify that the nation’s gold remains inside the vault.
“We wanted to go and knock on their door,” Trump said while discussing Fort Knox. He added that he wondered whether the gold was still there because “they steal a lot,” though he did not specify who he meant.
The remarks revived a long-running political debate surrounding the US Bullion Depository, which stores a significant portion of America’s gold reserves.
Fort Knox currently houses more than 147 million fine troy ounces of gold, according to the US Mint. Treasury Secretary Scott Bessent stated earlier this year that the reserves undergo annual audits and that all gold remains fully accounted for. Still, Trump’s comments quickly drew attention because they echoed conspiracy theories that periodically resurface around US gold holdings.
