Gold Holds Steady Amidst Market Turmoil; Silver Faces Intense Volatility

Gold and silver prices rose on Friday after a tumultuous week marked by declines and heightened volatility in global markets. Despite the rise, both metals experienced a second week of overall declines. Analysts point to weakened risk appetite as a key factor amid fluctuations in equity and cryptocurrency markets.

On Friday, gold and silver prices showed some recovery despite retreating for the second consecutive week due to global market turbulence and a stronger U.S. dollar affecting precious metals. Spot gold climbed 1.1% to $4,822.69 per ounce, although down 1.2% for the week, with U.S. gold futures for April delivery declining 1% to $4,840.40 per ounce.

Silver saw a 0.4% increase to $71.50 an ounce after a volatile session with prices previously dropping 10% to below $65—a significant 16% decrease for the week. Analyst Ilya Spivak noted a diminished risk appetite influencing the market, with gold maintaining stability while silver succumbed to 'risk-off' sentiment amidst ongoing cryptocurrency struggles.

A steady U.S. dollar, nearing a two-week peak, has been a contributing factor, with dollar-priced assets becoming costlier for foreign investors. Platinum and palladium also experienced declines. Analysts suggest that market volatility may persist until speculative positions unwind, with potential increased buying from Chinese consumers around the Chinese New Year.

(With inputs from agencies.)