Global Gold Prices Take a Hit, Four-Week Rally Ends

Jakarta, CNBC Indonesia - Global gold prices were under pressure throughout this week as market participants grew concerned about inflation risks stemming from the surge in oil prices and the possibility of US interest rates remaining high for longer.

According to Refinitiv, gold closed at US$4,708.6 per troy ounce, up 0.34% in Friday’s trading (24/4/2026). This closing price reversed the previous session’s position, when gold had corrected by 0.95% to US$4,692 per troy ounce.

However, on a weekly basis, gold prices still fell 2.48%. This correction broke the weekly strengthening trend for gold that had been ongoing for four consecutive weeks.

The main pressure on gold this week came from persistently high oil prices due to the US-Iran conflict. The rise in energy prices has made markets worry that global inflation will be difficult to curb again.

For gold, this situation poses significant pressure. If inflation remains high, the Federal Reserve may hold interest rates at elevated levels for longer. Such expectations make gold less appealing because it does not yield interest like bonds.

The situation is quite unique. Geopolitical conflicts typically drive demand for gold as a safe-haven asset. However, this time the impact of the conflict has also lifted oil prices, increasing inflation risks and expectations of prolonged high interest rates. This combination has ultimately restrained gold’s advance.

Pressure on gold intensified further as the US dollar and US government bond yields also strengthened. A stronger dollar makes gold more expensive for buyers outside the US, while rising yields make investors more interested in interest-bearing assets.

With these factors, the strengthening of gold on Friday appears more like a limited rebound than a sign of trend reversal. As long as oil prices, the US dollar, and yields remain high, the room for gold to strengthen may continue to be constrained.