Precious metals slide amid inflation fears and weaker loonie - Canadian Coin News

AI desk brief

Gold and silver sold off sharply after hotter-than-expected U.S. inflation boosted bets on another Fed rate hike, pressuring precious metals and Canadian mining shares. Gold fell 1.6% to US$4,084.80/oz and silver plunged 6.1% to US$55.55/oz on U.S. futures; in Canadian dollars, gold closed around C$5,845/oz (-1.1%) and silver C$79.23 (-5.8%).

The article highlights the macro transmission into bullion: a 3.7% y/y U.S. CPI print raised rate expectations, while higher rates weigh on non-yielding metals. A weaker loonie partly cushions CAD bullion prices but raises local purchasing costs for Canadian collectors and dealers; Canadian mining shares also weakened, with the TSX materials sector down 4.3%.