On Thursday, gold prices saw a rise, benefiting from gains in prior sessions fueled by escalating tensions between the United States and Iran. As investors assess the potential for wider conflict in the Middle East, the demand for safe-haven assets has surged, prompting a 0.5% increase in spot gold prices to $5004.47 per ounce, with US April futures rising 0.3% to $5025.10. Market analysts attribute this price movement partially to the likelihood of increased geopolitical risks in the region.

Additionally, the minutes from the Federal Reserve's January meeting revealed a near consensus on maintaining current interest rates, while opinions remain divided on future actions. Some analysts anticipate that the Fed might lower rates, potentially as early as June, if inflation trends downward, which historically supports higher gold prices. The dynamics between inflation, interest rates, and market expectations continue to influence investor behavior in precious metals.

Silver also witnessed a significant uptick, increasing by 1.5% to $78.36. The overall market reaction highlights the interrelationship between commodity pricing and geopolitical developments, emphasizing how external factors, such as international conflicts, can have immediate effects on financial markets, particularly in the commodities sector like gold and oil.