Gold falls over 1% as U.S. inflation data boosts Fed hike bets - CNBC

AI desk brief

Gold fell more than 1% after a hotter U.S. inflation backdrop and a 4% jump in oil pushed markets to price a higher chance of a Fed hike next week. Spot gold slipped 0.9% to $4,359.19/oz and U.S. gold futures lost 1.3% to $4,402.5/oz as the dollar firmed and 10-year Treasury yields rose, both pressuring non-yielding bullion.

CME FedWatch showed the implied probability of a rate hike rise to about 68% from 62% before the data. Silver, platinum and palladium also sold off sharply, with spot silver down 4% to $64.56/oz, platinum down 4.6% to $1,808.43/oz and palladium down 3.9% to $1,300/oz.