Gold prices hit one-week high as lower oil costs cool inflation worries

Gold prices climbed to a one-week high on Friday, putting the metal on track for its first weekly gain in four weeks as lower oil prices helped cool worries about long-term inflation. Spot gold increased by 1.2 percent to reach $4,390.11 per ounce by 2:14 p.m. EDT, after touching its highest mark since September 11 during the session. Overall, bullion has grown 1 percent over the course of the week. Meanwhile, US gold futures closed 0.6 percent higher at $4,424.90. The drop in oil prices helped lower inflation pressures because oil has been the main driver of overall price rises. Before this shift, precious metal investors had expected a rate hike and piled into short positions.