US Inflation Data Sparks Plunge in Gold and Silver Prices
The precious metals gold and silver fell in value after stronger-than-expected inflation data was released in the United States. According to Anadolu Agency, as of September 10 at 19:05 GMT, silver had dropped by 5.5% and was priced at $63.62 per ounce, while gold declined by 1.8% to $4,318.60 per ounce.
The producer price index in the US rose by 0.4% month-on-month in August, with annual producer inflation accelerating to 5.4%, exceeding market expectations of 5.3%. This was due to a jump in energy prices and signs of broader cost pass-through in the economy.
The figures strengthened expectations of further monetary tightening by the US Federal Reserve, with money markets assessing the probability of a rate hike at its September 16 meeting at over 70%.