Is Monero zero knowledge?

Could you please clarify whether Monero truly offers zero-knowledge privacy? It's been said that Monero utilizes certain privacy-enhancing features, but does it actually guarantee complete anonymity and untraceability, akin to what zero-knowledge cryptography promises? I'm interested in understanding the extent to which Monero's transactions are obscured from both prying eyes and even the blockchain's own analysis, and if there are any limitations or caveats to consider.