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2026.06.0512:50:38UTC+00Gold Heads for Over 2% Weekly Loss

Gold prices fell below $4,450 per ounce on Friday and were heading for a weekly decline of more than 2%, as a stronger-than-expected US jobs report and persistent tensions in the Middle East kept inflation and interest rate risks at the forefront.

The May employment report showed the US economy added 172,000 jobs, far exceeding the consensus forecast of 85,000. The unemployment rate remained unchanged at 4.3%, while annual wage growth eased to 3.4%, in line with expectations. The data led investors to ramp up expectations for further Federal Reserve tightening, with markets now pricing in a quarter-point rate hike by year-end.

At the same time, market participants continued to track developments in the Middle East. US President Donald Trump indicated that peace talks were approaching their final phase, but Iran’s Foreign Minister dismissed any notion of substantive progress, and Iran-backed Hezbollah rejected a US-brokered ceasefire proposal.

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