Gold ounce exceeds $5200 as oil prices decline
The price of gold rose today, Wednesday, March 11, 2026, supported by a decrease in inflation fears following a drop in oil prices, while investors await important U.S. economic data to assess the Federal Reserve's policy direction.
Gold in spot transactions recorded an increase of 0.4% to reach $5213.99 per ounce at 01:09 GMT, while U.S. gold futures for April fell by 0.4% to record $5221.80.
This rise came amid escalating tensions in the Middle East, following extensive airstrikes carried out by the United States and Israel on Iran, which the U.S. Department of Defense described as the strongest since the conflict began, while Iranians on the ground confirmed the severity of the attacks.
Despite this, markets expect President Donald Trump to seek a quick end to the conflict, according to Reuters.
These airstrikes led to a temporary closure of the Strait of Hormuz, the vital maritime passage through which one-fifth of the world's oil and liquefied natural gas passes, causing oil tankers to halt for more than a week and forcing producers to stop production due to full storage, driving energy prices up.
The U.S. Central Command announced that the military "destroyed" 16 Iranian mine-laying vessels near the strait last Tuesday.
However, oil prices fell after Trump's statements about the possibility of a quick end to the war, in addition to the International Energy Agency's proposal for the largest drawdown from strategic oil reserves ever, which helped temporarily ease inflation fears.
Markets are awaiting the release of the U.S. Consumer Price Index for February today, along with the Personal Consumption Expenditures Index on Friday, which is the preferred measure of the Federal Reserve.
Expectations from the CME Group's "FedWatch" tool indicate that investors expect interest rates to remain between 3.5% and 3.75% after the Federal Reserve meeting scheduled for March 18.
In other precious metals, silver recorded an increase of 0.6% to reach $88.89 per ounce, while platinum rose by 1% to $2221.48, and palladium increased by 1.5% to reach $1679.73.
