Gold rises Rs4,700 despite global weekly loss

On Thursday, gold had fallen by Rs5,600 per tola to Rs448,336 after declining for five consecutive sessions.

Silver prices also moved higher on Friday, gaining Rs126 to reach Rs6,963 per tola.The increase in domestic gold prices came despite continued pressure on international bullion markets.

Spot gold was trading around $4,275 per ounce on Friday and remained on track for a weekly decline as investors assessed persistent inflationary concerns, rising US Treasury yields and expectations of tighter Federal Reserve monetary policy.Reuters reported that gold was down about 2% to 2.4% for the week, while the stronger dollar also weighed on demand for the dollar-priced metal.

Higher interest rates and bond yields generally reduce the appeal of non-yielding assets such as gold, while making interest-bearing investments more attractive.Recent comments from Federal Reserve policymakers have strengthened expectations that US rates could remain elevated for longer as policymakers seek to contain persistent inflation.Adnan Agar, Director at Interactive Commodities, said gold remained under pressure and was trading around the $4,270-$4,275 level, after touching the low of about $4,240.He identified….

According to him, the recent recovery was not strong enough to remove downside risks, with the metal having recently reached a high of around $4,330.Agar said rising US Treasury yields remained a major concern for gold prices.

He expected gold could decline towards $4,000-$4,100 if selling pressure intensified, although strong physical demand could provide support around those levels.Looking further ahead, Agar expected gold to regain momentum after any correction, potentially moving towards $5,000-$5,500 over the next three to six months.

This outlook represents his market assessment and is subject to changes in interest rates, yields, currency movements, geopolitical developments and physical demand.Internationally, silver, platinum and palladium were also headed for weekly declines, reflecting a broader weakness across precious metals.Meanwhile, the Pakistani rupee extended its marginal gains against the US dollar in the inter-bank market, closing at 277.16, up Rs0.01 from Thursday's settlement at 277.17.Internationally, the US dollar was headed for….