Gold Falls Friday, Holds Weekly Gain Amid Tensions

Gold prices declined on Friday, July 24, 2026, but remained on track for their first weekly gain in three weeks, as escalating Middle East tensions and strong U.S. economic data created a complex backdrop for the precious metal. The spot price fell approximately 0.5 percent to around $4,030 per ounce in early trading, though it held a weekly advance of about 0.8 percent.

The week's upward momentum was largely driven by heightened geopolitical instability. Yemen's Houthi forces, aligned with Iran, attacked two Saudi oil tankers in the Red Sea. In response, President Donald Trump warned that the United States would hold Iran responsible for any future Houthi attacks on commercial shipping and threatened expanded military action against Tehran. The conflict pushed benchmark Brent crude oil prices above $100 a barrel for the first time since May, reigniting inflation concerns.

Those concerns were compounded by unexpectedly strong U.S. labor market data. Initial jobless claims fell to 187,000, the lowest level in decades. This robust report propelled the yield on the 10-year U.S. Treasury note to its highest point since January 2025. Rising yields typically pressure gold, which...