Gold prices increased by 0.8% to approximately $4,721.05 per ounce, driven by renewed buying interest, particularly from the People's Bank of China, which purchased 8 tons of gold in April, marking the highest monthly total since 2024. This rise comes despite heightened tensions in the Middle East, where recent clashes have threatened a fragile ceasefire and raised concerns about inflation and interest rates. Analysts suggest that the central bank's demand could encourage further purchases from Asian buyers as they anticipate a potential rally in gold prices once the conflict stabilizes. Despite the recent uptick, gold has seen a decline of around 11% since the onset of the conflict, as fears of rising inflation and higher interest rates continue to loom. Traders are now looking to upcoming US non-farm payroll data for insights into future interest rate movements, as Federal Reserve officials have downplayed the likelihood of returning to monetary easing amidst the ongoing geopolitical uncertainties.