US Inflation Data and Iran Conflict Set to Drive Gold and Silver Prices
The gold and silver markets are set to be influenced by several key factors this week, including US inflation data, crude oil prices, and geopolitical tensions in West Asia. Analysts predict that these factors will drive bullion prices, with speculation surrounding the global interest rate outlook also playing a major role.
US Consumer Price Index (CPI) inflation report for August 2026 is scheduled to be released on September 11, which will be closely watched by investors. The People's Bank of China continues to increase its gold reserves, buying 20 tonnes last month and taking its year-to-date buying to 60 tonnes.
Last week, gold futures for October delivery fell Rs 3,514, or 2.2 per cent, to Rs 1.52 lakh per 10 grams, while silver declined Rs 4,786, or nearly 2 per cent, to Rs 2.37 lakh per kg on the Multi Commodity Exchange.
Gaurav Garg, Head of Research at brokerage platform Lemonn, said bullion sold off as geopolitical concerns increasingly emerged as a rate risk rather than triggering a traditional safe-haven demand. However, dovish remarks from Fed Governor Christopher Waller and indications that the Iran escalation could be contained pulled back rate-hike expectations during the week.