Precious Metals Rebound as Oil Prices Cool Inflation Fears

Precious metals gold and silver have made a rebound on Thursday as oil prices lost momentum, easing concerns over inflationary pressures.

The rally in precious metals was driven by reports that Saudi Arabia's East-West oil pipeline will be restored to around half its capacity within days, with full operation expected within six weeks. This development helped cool crude prices and reduced energy-driven inflation worries.

Gold prices climbed 1.1% to $4,308.80 per ounce, while silver gained 1.2% to $63.97 per ounce. The annual gain for gold is more than 18%, compared with silver's almost 53% increase over the same period.

The rebound in precious metals was limited, however, as the US Federal Reserve raised interest rates and signaled another increase before the end of the year. Fed Chair Kevin Warsh stated that inflation remains elevated, despite core US inflation figures showing a rise above expectations last week.