Oil Price Surge Weighs on Gold and Silver Ahead of Inflation Reports

The price of gold and silver fell in early U.S. trading on Tuesday as rising oil prices and elevated Treasury yields kept pressure on non-yielding metals ahead of this week's inflation reports.

At the time of writing, spot gold was trading near $4,392.60 an ounce, down 0.28%, while spot silver was trading at $65.740, down 0.47% on the session.

The market is pricing a roughly 60% probability of a September rate hike after last week's strong August payrolls report and final inflation tests before the Fed's Sept. 15-16 meeting.