Gold prices rose to around $5,110 per ounce on Friday, following a two-day drop, as markets weighed the geopolitical risk premium against the inflationary impact of surging oil prices. US President Donald Trump and Iran’s new supreme leader Mojtaba Khamenei struck defiant tones on the 13th day of the war. Trump said preventing Iran from acquiring nuclear weapons and threatening the Middle East outweighs concerns over oil prices, while Khamenei vowed to keep the Strait of Hormuz effectively closed and warned Tehran could open additional fronts if US and Israeli attacks persist. This has pushed energy prices higher, fueling further inflation concerns and dampening expectations that the Federal Reserve will cut interest rates. Markets see no chance of a reduction at next week’s meeting and only about a 70% probability of a cut later this year. Gold is heading for back-to-back weekly losses.