Gold Prices Tumble Amid Rising Oil Costs and Inflation Fears

Gold prices weakened on Tuesday, September 15, due to rising oil prices and heightened concerns over inflation. This led to expectations of higher interest rates from the US Federal Reserve ahead of its policy meeting.

The spot gold price fell by 0.4% to $4,282.49 per troy ounce at 11:10 GMT. US gold futures also declined by 0.7% to $4,323.30 per troy ounce.

Ole Hansen, Head of Commodity Strategy at Saxo Bank, attributed the pressure on gold prices to a combination of factors including higher oil prices, expectations of a US interest rate hike, a stronger US dollar, and rising long-term bond yields.