Gold Prices Decline Amid Rising Oil and US Rate Hike Expectations

Gold prices retreated on Monday, influenced by rising oil prices and renewed inflation concerns, which bolstered market expectations for the U.S. Federal Reserve to raise interest rates this week. Spot gold fell by 0.3% to $4334.31 per ounce by 03:30 GMT, following its third consecutive weekly decline recorded last Friday. U.S. gold futures also dropped by 0.8% to reach $4375 per ounce. This decline in gold comes alongside heightened expectations for a U.S. rate hike, following data that showed accelerated consumer prices in the United States during August. Additionally, a key measure of core inflation recorded its largest increase in four months. Meanwhile, spot silver declined by 0.7% to $64.02 per ounce. Platinum remained stable at $1796.90, and palladium saw little change, recording $1298.80 per ounce.