Gold recovers from two-week low ahead of US inflation
Spot gold climbs 0.8% to US$4,031.43 per ounce by 0611 GMT, recovering from its lowest level since Jul 1
Published Tue, Jul 14, 2026 · 09:44 AM — Updated Tue, Jul 14, 2026 · 03:12 PM
[BENGALURU] Gold rose on Tuesday (Jul 14) after hitting a two-week low earlier in the session, as markets awaited key US inflation data, with escalating US-Iran tensions driving oil prices higher and reinforcing expectations of further Federal Reserve rate hikes.
Spot gold was up 0.8 per cent at US$4,031.43 per ounce by 0611 GMT, recovering from its lowest level since Jul 1.
US gold futures for August delivery gained 0.8 per cent to reach US$4,037.80.
Gold shed about 3 per cent in the previous session, its biggest daily percentage decline in more than a month, as continued fighting between the US and Iran drove oil prices to a one-month high.
While gold is often viewed as a hedge against inflation, higher rates tend to weigh on the non-yielding metal by increasing the appeal of interest-bearing assets.
“You have a situation where the markets probably don’t want to commit. They have a big batch of event risks in front of them. There’s, of course, the Warsh testimony and then the consumer price index print, so there’s a lot for people to look at in addition to the headlines out of the Middle East,” said Ilya Spivak, head of global macro at Tastylive.
Investors will closely watch June US CPI data due later in the day on Tuesday for fresh clues on inflation and the Fed’s policy path, with producer price index data and Fed chair Kevin Warsh’s first semi-annual testimony before Congress this week also in focus.
The US central bank may need to raise interest rates “in the near term” if coming data show inflation continuing well above the 2 per cent target, Fed Governor Christopher Waller said on Monday.
Traders have ramped up bets on a September US interest rate hike, with CME Group’s FedWatch Tool showing the probability rising to around 76 per cent from 57 per cent a week ago.
Elsewhere, spot silver rose 0.9 per cent to US$58.17 per ounce, after earlier touching a two-week low.
Platinum gained 0.3 per cent to US$1,610.13 and palladium climbed 1.9 per cent to US$1,271.22. REUTERS
