Inflation Data Dampens Gold and Silver Prices

Gold and silver prices dropped in late U.S. trading after a cooler-than-expected wholesale inflation report reduced Treasury yields and the likelihood of a Fed rate hike.

The spot price of gold fell 1.31% to around $4,349.80 per ounce, while spot silver declined 1.40% to about $64.29.

The report showed no increase in final-demand PPI for July and a slight rise in producer prices year-over-year, which tempered inflation concerns.

This led to lower odds of a September Fed rate hike and a decline in 10-year Treasury yields.