Oil Prices Fall on US Inventory Build as Gold Awaits Fed Decision
Oil prices fell on September 16 after an unexpected build in US crude inventories. The surprise rise, coupled with ongoing supply concerns following a Saudi Arabian pipeline attack, led to a decline in Brent crude futures by $0.93 to $107.82 per barrel and U.S. West Texas Intermediate futures down $0.97 at $104.86 per barrel.
The recent increase in oil prices had pushed Treasury yields higher, reinforcing expectations of a Federal Reserve interest rate hike this week. The dollar index was trading near a two-week high at 99.55, reflecting the increased borrowing costs and inflation concerns that typically negatively affect gold prices.
Gold remained steady after a two-day drop, with bullion trading around $4,290 an ounce. Silver was little changed at $63.68 an ounce, while Platinum dipped 0.2% and palladium rose 0.1%.