Oil Surge Dents Gold Prices as Inflation Fears Intensify

Gold and silver prices declined on Monday, September 14, as oil prices surged by 4% due to fresh Houthi strikes on Saudi Arabia and Iranian attacks on ships in the Gulf. This rise in oil prices fueled inflation concerns and boosted expectations of a rate hike at the upcoming US Federal Reserve policy meeting.

Jateen Trivedi, VP Research Analyst at LKP Securities, stated that the possibility of a rate hike or hawkish commentary from the Fed chair could keep gold under pressure. He predicted that gold prices could be seen in the range of ₹1,49,000-₹1,54,000.

On the global front, spot gold dropped 0.92% to $4,284.52 per ounce, while US gold futures fell 1.1%. Spot silver was down 1.30% at $62.96 per ounce.