Gold sinks to 7-week low as oil-driven inflation fears lift Fed rate-hike bets

Reuters · 1 hour ago
  • Gold fell 3% to $4,156.45 an ounce, its lowest in over seven weeks, as higher oil prices stoked inflation fears and reinforced the case for elevated interest rates.
  • Markets price a 70.3% chance of a Fed rate hike in October, with US PCE and nonfarm payrolls data due this week as key catalysts.
  • Spot silver fell nearly 5%, underperforming gold as the rate-hike repricing hit precious metals broadly.

Quotes

“Spot gold was down 3% at $4,156.45 per ounce”— Reuters
“Markets see 70.3% chance of Fed rate hike in October”— Reuters

Sources