Gold Prices Fall Amid Inflation Worries and Higher Rate Expectations

Gold prices declined on Wednesday as rising inflation concerns and expectations of higher interest rates weighed on the market.

The spot gold price dropped by 0.1% to $4,349.44 per ounce, while U.S. gold futures for December delivery fell 1% to $4,393.30.

Markets are awaiting key inflation data from the United States, with the producer price index due on Thursday and the consumer price index scheduled for release on Friday.

The escalating Middle East conflict is also contributing to rising crude prices, which tend to put upward pressure on inflation and interest rates.