US Inflation Data Set to Spark Bullion Market Volatility
The bullion markets will remain volatile this week as investors weigh US inflation data against changing expectations for interest rates.
US Consumer Price Index (CPI) report for August 2026, due on September 11, will be the key trigger for bullion markets amid considerable speculation over the interest rate outlook, said Pranav Mer, senior vice president of EBG - commodity & currency research at JM Financial Services Ltd.
Last week, both gold and silver ended lower. On the Multi Commodity Exchange, 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.
In the international market, Comex gold futures for December delivery dropped $53.3, or nearly 1.2 per cent, during the week to end at $4,476.6 per ounce. Silver fell 1.52 per cent to $66.75 per ounce in New York.
The movement in domestic gold prices was also marked by sharp swings during the week, with MCX gold witnessing volatile moves this week, said Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities.