{"id":128055,"date":"2026-06-05T11:50:00","date_gmt":"2026-06-05T07:50:00","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=128055"},"modified":"2026-06-05T12:23:54","modified_gmt":"2026-06-05T08:23:54","slug":"gold-slides-toward-2-2-weekly-loss-hezbollahs-ceasefire-rejection-and-rate-hike-fears-crush-bullion","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/gold-slides-toward-2-2-weekly-loss-hezbollahs-ceasefire-rejection-and-rate-hike-fears-crush-bullion\/06\/05\/market-updates\/","title":{"rendered":"Gold Slides Toward 2.2% Weekly Loss: Hezbollah&#8217;s Ceasefire Rejection and Rate Hike Fears Crush Bullion"},"content":{"rendered":"\n<h1 class=\"wp-block-heading\"><\/h1>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Key Takeaways<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Gold falls:<\/strong> Spot gold dropped 0.8% to $4,440.84 per ounce, while gold futures fell 0.8% to $4,467.01.<\/li>\n\n\n\n<li><strong>Worst weekly drop since early May:<\/strong> Spot prices on track for a 2.2% weekly loss.<\/li>\n\n\n\n<li><strong>Hezbollah rejects ceasefire:<\/strong> The Iran-backed group refused to halt hostilities with Israel, torpedoing a key precondition for any U.S.-Iran peace deal.<\/li>\n\n\n\n<li><strong>Iran steps back from talks:<\/strong> Reports this week showed Tehran walked away from negotiations, citing U.S. ceasefire violations.<\/li>\n\n\n\n<li><strong>U.S.-Iran strikes continue:<\/strong> Fresh military exchanges this week signal a prolonged conflict ahead.<\/li>\n\n\n\n<li><strong>Oil and inflation fears reignite:<\/strong> A longer war means sustained energy disruptions and persistent price pressures.<\/li>\n\n\n\n<li><strong>Rate hike bets mount:<\/strong> Rising inflation expectations are driving hawkish central bank bets \u2014 gold&#8217;s primary headwind.<\/li>\n\n\n\n<li><strong>Dollar firms:<\/strong> Safe-haven flows into the greenback are adding additional pressure on bullion.<\/li>\n\n\n\n<li><strong>Silver plunges:<\/strong> Spot silver fell 1.7% to $72.6320 per ounce \u2014 down 3.5% on the week.<\/li>\n\n\n\n<li><strong>Platinum slides:<\/strong> Spot platinum dropped 0.9% to $1,880.76 \u2014 down 0.9% weekly.<\/li>\n\n\n\n<li><strong>Nonfarm payrolls the day&#8217;s test:<\/strong> May jobs data due Friday; a strong print could reinforce higher-for-longer rate bets.<\/li>\n\n\n\n<li><strong>NFP track record:<\/strong> U.S. payrolls have surprised to the upside in four of the past six months.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p>Gold prices fell during Asian trading on Friday as waning hopes for a U.S.-Iran peace deal drove up expectations of higher inflation and interest rates, spurring flows into the dollar.<\/p>\n\n\n\n<p>Market focus was squarely on upcoming U.S. payrolls data for more cues on the world&#8217;s largest economy and the path of interest rates this year.<\/p>\n\n\n\n<p>Spot gold fell 0.8% to $4,440.84 an ounce by 23:45 ET (03:45 GMT), while gold futures fell 0.8% to $4,467.01 per ounce.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Gold Heads for Weekly Losses as Iran Tensions and Rate Jitters Weigh<\/h2>\n\n\n\n<p>Spot prices were set to lose about 2.2% this week \u2014 their worst weekly drop since early May.<\/p>\n\n\n\n<p>Gold was pressured by signs of worsening geopolitical tensions in the Middle East, as the United States and Iran traded a fresh round of attacks amid reports that Tehran had stepped away from negotiations.<\/p>\n\n\n\n<p>Hopes for a peace deal were further quashed by Iran-backed Lebanese group Hezbollah rejecting a ceasefire with Israel, as hostilities in southern Lebanon continued. Tehran had outlined a Lebanon ceasefire as a necessity for any broader peace deal.<\/p>\n\n\n\n<p>This week&#8217;s developments pointed to little progress toward a peace deal, heralding a prolonged U.S.-Iran conflict that is likely to underpin oil prices and inflation.<\/p>\n\n\n\n<p>Rising inflation is likely to elicit more hawkish moves from global central banks, especially the Federal Reserve. This notion has weighed heavily on gold since the onset of the U.S.-Israel war on Iran in late February, given that high rates diminish the appeal of non-yielding assets.<\/p>\n\n\n\n<p>Other precious metals also fell on Friday and were headed for weekly losses. Spot silver fell 1.7% to $72.6320 per ounce \u2014 down 3.5% on the week \u2014 while spot platinum fell 0.9% to $1,880.76 per ounce, down 0.9% weekly.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Nonfarm Payrolls Awaited for More Rate Cues<\/h2>\n\n\n\n<p>U.S. nonfarm payrolls data for May is due later on Friday and is widely expected to offer more insight into the labor market and the direction of interest rates.<\/p>\n\n\n\n<p>The print is expected to show a further cooling in U.S. jobs growth, amid persistent headwinds from the Iran war and cooling economic momentum.<\/p>\n\n\n\n<p>The labor market and inflation are the Federal Reserve&#8217;s two main considerations for adjusting interest rates. Friday&#8217;s print comes amid growing conviction that the central bank will keep rates steady for longer in the face of inflationary pressures from the Iran war.<\/p>\n\n\n\n<p>A strong payrolls reading could give the central bank more headroom to leave rates unchanged \u2014 or even hike rates later in the year. Nonfarm payrolls have surprised to the upside in four of the past six months.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Gold falls: Spot gold dropped 0.8% to $4,440.84 per ounce, while gold futures fell 0.8% to $4,467.01. Worst weekly drop since early May: Spot prices on track for a 2.2% weekly loss. Hezbollah rejects ceasefire: The Iran-backed group refused to halt hostilities with Israel, torpedoing a key precondition for any U.S.-Iran peace deal. &hellip;<\/p>\n","protected":false},"author":9,"featured_media":128025,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[38,6827,49,37,36],"tags":[],"class_list":["post-128055","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-daily-economic-reports","category-economic-reports","category-forex-markets","category-market-updates"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/128055","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=128055"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/128055\/revisions"}],"predecessor-version":[{"id":128057,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/128055\/revisions\/128057"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/128025"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=128055"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=128055"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=128055"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}