Gold futures slide to five-session low following CPI release.
Gold futures reversed from an early session peak of $4,156.20 per ounce to touch an intraday low of $4,020.80, pressured by a hotter-than-expected Consumer Price Index report and rising Treasury yields. Headline CPI rose 0.4% month over month against expectations of 0.3%, while core CPI increased 0.3% for the third consecutive month compared to a 0.2% forecast. Higher yields weighed on non-yielding bullion as market pricing leaned into firmer policy expectations ahead of the December Federal Reserve meeting. Additionally, safe-haven demand diminished following diplomatic developments with Iran and indications of reduced risk regarding further military strikes. A parallel decline in crude oil, which has moved lower in six of the past seven sessions, added further downward pressure on gold across global trading sessions.
Gold futures reversed from an early session peak of $4,156.20 per ounce to touch an intraday low of $4,020.80, pressured by a hotter-than-expected Consumer Price Index report and rising Treasury yields. Headline CPI rose 0.4% month over month against expectations of 0.3%, while core CPI increased 0.3% for the third consecutive month compared to a 0.2% forecast. Higher yields weighed on non-yielding bullion as market pricing leaned into firmer policy expectations ahead of the December Federal Reserve meeting. Additionally, safe-haven demand diminished following diplomatic developments with Iran and indications of reduced risk regarding further military strikes.
A parallel decline in crude oil, which has moved lower in six of the past seven sessions, added further downward pressure on gold across global trading sessions.