Gold held a decline near $4,105 an ounce after US consumer prices rose 0.6% monthly, the fastest since April, driven by energy costs. The hotter-than-expected inflation data boosted bets on a Federal Reserve rate hike at the October meeting to roughly 30%. Bullion has lost more than 20% since energy supply disruptions from the US-Iran war triggered global inflation and central bank tightening.
Silver remained down 6% from the prior session, trading around $55.53. Treasury yields climbed near multiyear highs and the dollar strengthened, making gold more expensive for foreign buyers. Chicago Fed President Austan Goolsbee called the data “discouraging” and warned that AI-related infrastructure spending may also be overheating the economy.
Investors now await final policy clues from Fed Chairman Kevin Warsh at IMF meetings in Bangkok before the central bank’s media blackout begins Saturday ahead of the Oct. 27–28 meeting. Spot gold was largely unchanged at $4,102.60 in early Singapore trading.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing