Gold fell as US stock indexes eyed a second weekly gain and traders bet there would be no immediate escalation in the situations in Ukraine or Iraq.
Crude jumped as reports of an armed conflict between Russian and Ukrainian forces boosted oil's geopolitical premium.
The dollar failed to get a safe-haven boost despite news that the Ukraine-Russia conflict had entered a potentially dangerous phase.
Most Asian equities traded higher on the last trading day of the week, taking cues from a firm finish on Wall Street overnight.
European stock markets closed down on Friday, on reports that Ukrainian troops had destroyed part of a military unit entering from Russia.
U.S.stocks closed higher on Thursday at August highs despite subpar economic data around the world, and after conciliatory remarks from Putin.
U.S. government bonds continued to rise on Thursday, ahead of another major Treasury auction.
European shares pared losses and closed higher on Thursday, with the easing of tensions in Ukraine helping investor sentiment.
Gold prices settled higher, logging a third straight daily gain, as investors shrugged off a bigger-than-expected rise in US jobless claims.
Oil tumbled on Thursday, as higher U.S. jobless claims and a German economic contraction highlighted weak demand.
A robust U.S. 30-year bond auction supported Treasuries prices in general and weighed on yields, which has underpinned the greenback, analysts said.
Most Asian bourses traded higher on Thursday following a firmer finish on Wall Street overnight.
U.S. stocks closed higher for the third time in four days as a rally in tech, airlines and biotech firms helped lead gains.
U.S. stock-index futures pointed to a higher start to trade on Friday, with markets calmer after mollifying remarks from Vladimir Putin.
Treasurys held earlier gains after the government's auction of 10-year notes Wednesday, the second set of this week's $67 billion in US debt supply.
European shares were higher on Wednesday, helped along by a rally in the insurance sector, as investors remained focused on geopolitical tensions.
Gold gained for a second straight session after soft retail sales implied some loss of momentum in the US economy.
Crude rose in choppy trading, with Brent recovering from a 13-month low as turmoil abroad kept concerns about potential supply disruptions in focus.
The British pound also falls on inflation, wages data, and the yen is subdued after Japan's Q2 GDP contraction.
Asian shares traded mixed on Wednesday as markets shrugged off an uninspiring handover from the U.S., a poor showing of the Japanese economy and key monthly indicators from China.
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Thailand's central bank said the country's economy will barely grow this year and cut 2015 forecasts, mainly on lackluster exports.
Russian President Vladimir Putin ordered a cap on rising vodka prices, as he battles to preserve his popularity.
Slumping oil prices have put Russia's economy on course for a sharp recession next year, its finance minister said on Friday.