Gold settles up 3%, posts second straight weekly loss

Gold and silver prices extended gains on Friday.

Gold prices rose on Friday, supported by easing inflation concerns linked to the war in the Middle East, though the precious metal posted its second consecutive weekly loss.

Gold gained after US President Donald Trump announced that a settlement agreement had been reached with Iran, amid media reports suggesting the deal could be signed within the next few days.

The metal has faced pressure since the conflict began in late February, as concerns that higher oil prices could fuel inflation have reinforced expectations that central banks will keep interest rates elevated.

Markets continue to price in a 57% probability that the Federal Reserve will raise its benchmark interest rate by its December meeting, according to the CME FedWatch Tool.