Gold bounced from overnight dips on Thursday, and lingered lower than latest highs as worries of extended period of higher interest rate and stress of robust greenback weighed.

The yellow metal had soared to record peaks the earlier week as demand on safe haven spiked following Iran’s attack on Israel. But worries of escalated tension between the two parties eased a bit this week as Israel did not show any immediate response.

Tenseness from the greenback also cooled this week as the dollar plunged from a five-month peak on Wednesday. However, projections of an extended period of higher interest rate gave the yellow metal a chance to benefit from this slump.

Spot gold added 0.6% to $2,374.31 per ounce, while gold futures edged up a bit to $2,389.05 per ounce.

Spot prices dipped by 0.9% on Wednesday, while gold futures advanced by $2,389.05 per ounce. 

The yellow metal witnessed major profits this week post touching record peaks, especially as the non-existence of response from Israel towards Iran fuelled the risk appetite.