Oil gains and strong US inflation data heighten market expectations for a Fed
rate hike later this year, pressing gold on Friday. KCM Trade chief market
analyst Tim Waterer said the drop has put technical support around $4,000 at
risk; prior dip-buying had limited falls, but it is unclear whether value buyers
will re-emerge. Several strong US macro prints this week support the case for a
December Fed move, and elevated oil reduces gold’s appeal as an inflation hedge.
A tanker attack in the Strait of Hormuz has intensified supply-risk worries
linked to a US‑Israel conflict with Iran, lifting oil on Friday and leaving it
on track for a fourth consecutive monthly gain.
