Gold prices rose on Friday, rebounding from a more than 1% drop ‌in the previous session, as investors sought safe-haven bullion on heightened uncertainty over a widening Middle East conflict.

Spot gold ​was up 1% at $5,128.39 per ounce, as of 0506 GMT. The metal has lost roughly 3% so far ​this week, ​set to snap a four-week winning streak, as fading rate-cut prospects and higher energy prices stoked inflation concerns.

U.S. gold futures for April delivery were up 1.2% at $5,137.50.

The ⁠dollar weakened, making greenback-priced bullion less expensive for holders of other currencies.

"Geopolitical risks are still not subsiding. In fact, there could be a risk of escalation, given the fact that the recent interview by Iranian foreign minister stating that the Iranian forces are ready for a ground invasion ​by the ‌U.S. or even Israel. ⁠So that's actually supporting ⁠gold price," said Kelvin Wong, a senior market analyst at OANDA.

On the sixth day of the war, ​Iran launched a series of attacks on Israel, the United Arab ‌Emirates and Qatar.

U.S. Defense Secretary Pete Hegseth and Admiral ⁠Brad Cooper, who leads U.S. forces in the Middle East, said that the U.S. has enough munitions to continue its bombardment indefinitely.

The U.S.-Israeli military campaign against Iran launched on Saturday has struck targets across the country and triggered Iranian retaliation.

Bullion, traditionally viewed as a safe-haven asset, has risen about 18% so far this year, notching successive record highs amid heightened geopolitical and economic uncertainty.

Gold prices would be volatile in the near term with key support at $5,040 level and resistance at $5,280, said Wong, adding that prices could rise up to $5,448 if the ‌resistance is broken.

CME Group on Thursday cut the initial margin on ⁠its COMEX 100 gold futures to 7% from 9%, and reduced ​the margin on its COMEX 5,000 silver futures to 14% from 18%.

Meanwhile, U.S. data on Thursday showed initial jobless claims unchanged last week, while layoffs dropped sharply in February.

Investors now await the U.S. ​employment report for ‌February, due later in the day.

Spot silver rose 2.6% to $84.26 per ⁠ounce. Spot platinum gained nearly 1.6% to $2,154.60, ​while palladium climbed 2.2% to $1,665.21.

(Reporting by Noel John in Bengaluru; Editing by Sherry Jacob-Phillips)