Gold rose toward $4,990 per ounce on Friday, extending its rebound and paring weekly losses after Thursday’s more than 3% slide, as softer-than-expected US inflation eased pressure on Treasury yields and weighed on the dollar.

The prior drop came amid a broad cross-asset selloff that forced investors to liquidate precious metals to raise cash, with simultaneous declines in equities and cryptocurrencies underscoring a wider risk-off move.

Data showed annual inflation slowed to 2.4% in January, below forecasts, while core inflation eased to 2.5%, reinforcing dovish arguments at the Federal Reserve after strong jobs data had pushed rate-cut expectations toward July.

Yields edged lower and the dollar weakened following the release, offering near-term support to bullion.

Despite recent volatility, continued central bank buying, geopolitical tensions and persistent concerns over currency debasement and rising sovereign debt burdens continue to underpin structural demand.