Precious Metals Preview: COMEX Gold Hits 11-Month Low Despite Soaring US Inflation

14 Jul 2022 , 08:47 AM

Gold prices fell to its lowest level in 11 months after US consumer prices surged by more than expected in the month of June, adding further pressure on the Federal Reserve to go more aggressive on rate hikes. The report showed the consumer price index shot up by 1.3 percent in June after jumping by 1.0 percent in May. With the bigger than expected monthly increase, the annual rate of consumer price growth accelerated to 9.1 percent in June, reflecting the fastest growth since November 1981. Besides, the yellow metal also faced pressure from a firm dollar overseas as investors clung to the safe haven asset amid rising prices and heightened recession risks. COMEX gold stays marginally lower below $1730 mark. Powered by Commodity Insights