Gold Holds Above $4,300 as Crude Oil Pulls Back
Spot gold prices held above $4,300 after Thursday's inflation-driven selloff as crude oil and the US dollar pulled back in late-afternoon trading on Friday. The August Consumer Price Index report came in close to expectations, which helped calm risk appetite and sent North American equity markets higher.
The Dow Jones Industrial Average gained 509 points, or 1%, to 52,573, while the S&P 500 rose 65 points, or 0.9%, to 7,657. The Nasdaq Composite added 251 points, or 1%, to 26,333.
The latest positioning remains hawkish, but less disorderly than Thursday's oil-and-yield shock. August CPI matched expectations at the headline level, while core CPI was firm enough to push Fed-hike odds higher, with derivatives markets pricing a roughly 85-90% probability of a 25-basis-point hike next week.
The recovery in precious metals is still tactical and not a confirmed trend reversal. Bulls need gold to clear the $4,396-$4,489 resistance band and silver to reclaim the $65-$68 area before the rebound becomes technically durable.