Gold Holds Steady Around $2,450

Gold remained steady around $2,450 per ounce on Friday, poised to record a weekly gain following a decline the previous week. The metal continues to attract investors as a safe-haven asset amid escalating tensions in the Middle East, particularly regarding concerns about a potential Iranian retaliatory strike against Israel. Meanwhile, recent US economic data has tempered expectations for a more aggressive Federal Reserve stance on its anticipated September rate cut. July retail sales surged unexpectedly, signaling strong consumer spending, and initial claims fell to their lowest level in a month, alleviating concerns about a weakening labor market. As a result, investors are now predicting a 25 basis point rate cut by the Fed in September, shifting away from the previously expected 50 basis point reduction. This shift has moderated gold's momentum due to its sensitivity to interest-bearing assets.

The first support level for gold is at 2,450. If this level is breached, the next supports to watch will be 2,430 and 2,412. On the upside, the initial resistance is at 2,475; if this level is surpassed, the next targets will be 2,450 and 2,500.