Gold on track for biggest weekly loss in six as Iran war fans inflation worries

Gold was on track for its biggest weekly loss in six on Friday, as escalating US-Iran clashes lifted oil prices, adding to inflationary pressures and strengthening the case for higher US interest rates. Spot gold was up 0.3% at $3,980.64 per ounce by 0455 GMT, having touched its lowest since July 1 earlier in the session. US gold futures for August delivery lost 0.2% at $3,984.10. The metal, however, has lost 3.4% so far this week, its largest decline since June 1, with the ongoing Middle East tensions outweighing support from softer June US inflation figures released this week.