
AI-generated summary
Gold prices fell ahead of US inflation data. The strength of the dollar put pressure on gold. Markets are waiting for the CPI data to be announced on Wednesday and the PPI data to be published on Thursday.
The downward trend in gold prices came to the fore ahead of US inflation data.
Spot gold lost 0.2 percent to $4,164.45 per ounce. The precious metal hit its highest level in a week on Monday.
Gold Type Gold Price Gram gold 6,641 TL Quarter gold 10,861 TL Republic gold 43,303 TL Ounce gold 4,189 Dollars Half gold 21,715 TL Full gold 43,010 TL Gremse gold 107,855 TL
December futures gold contracts in the USA also decreased by 0.1 percent to $ 4,187.90.
DOLLAR PUT PRESSURE ON GOLD
The fact that the dollar remained close to the highest levels of the last 18 months, reached in the previous session, put pressure on gold prices.
The strengthening of the dollar makes gold priced in dollars more expensive for investors using other currencies.
EYES ON US INFLATION DATA
The focus of the markets is on the US consumer price index (CPI) data to be announced on Wednesday and the producer price index (PPI) data to be published on Thursday.
The data is expected to shape expectations regarding the monetary policy that the Fed will follow in the coming period.
Capital.com Senior Financial Markets Analyst Kyle Rodda stated that there may be a new retreat in gold prices, especially if core inflation exceeds expectations.
Rodda pointed out that such a situation could strengthen the possibility of an interest rate increase in October.
INTEREST RATE INCREASE EXPECTATIONS FOR FED ARE GETTING STRONGER
According to CME FedWatch data, markets give a 21 percent probability that the Fed will raise interest rates in October.
The probability of an interest rate increase in December is priced at 88 percent.
Cleveland Fed President Beth Hammack also said that a tighter monetary policy stance should be adopted relatively quickly to combat inflation.
Hammack stated that inflation has spread to a wider area and price increases have begun to affect the pricing behavior of companies.
GEOPOLITICAL TENSION IS ALSO FOLLOWED
Geopolitical developments are also followed in the gold market.
While Saudi Arabia announced that it was facing a new wave of missile attacks, it stated that Riyadh Airport would remain closed for now.
The statement came after a missile attack claimed by the Houthis in Yemen, which is affiliated with Iran, and caused casualties in an airport terminal on Saturday.
SILVER, PLATINUM AND PALLADIUM ALSO DECREASED
The decline in gold was accompanied by other precious metals.
Spot silver fell 0.5 percent to $60.01 per ounce.
Platinum lost 0.2 percent to $1,682.47, and palladium dropped 0.5 percent to $1,137.69.
AI outlook — possibilities, not facts
Gold prices may remain in a downward trend in the short term.
Likely · Within days
The probability of the Fed increasing interest rates in October is priced at 21% and in December at 88%.
Likely · Within weeks

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