Gold, Silver Rise as July CPI Data Leaves Hike Odds Near 48%

Gold and silver prices rose on Wednesday following the release of July's Consumer Price Index (CPI) data, which met forecasts and left traders divided on the likelihood of a Federal Reserve rate hike in September. The CPI print showed headline inflation advancing 0.1% month-over-month and 3.4% year-over-year, while core reading climbed 0.2% from the prior month and 2.5% year-over-year.

The data provided some relief to the metals complex but did not fully dispel central bank uncertainty. The market-derived odds for a quarter-point hike in September hover near 48%, despite inflation running above the Fed's target and energy costs remaining a factor in the policy debate.

The Strait of Hormuz continues to influence oil prices, inflation expectations, and demand for safe-haven assets. Brent crude is steady near $89 a barrel, and West Texas Intermediate is around $84, keeping fuel expenses elevated despite the CPI print aligning with forecasts.