November 12, 2026
Gold prices witnessed a decline during Thursday’s trading, affected by US inflation data that came higher than expectations, and tough statements issued by Federal Reserve officials. These data pushed the dollar closer to its highest level in a month, and reinforced expectations of raising interest rates during the next month.
By 00:22 GMT, gold in spot transactions fell by 0.2%, reaching $3,979.09 per ounce, while US gold futures contracts for December delivery fell by 0.4%, recording $3,984.50.
In the broader market, the dollar maintained its stability near its highest levels in a month against major currencies with the start of Asian trading, which led to an increase in the cost of gold priced in the US currency for buyers holding other currencies.
The path to raising interest rates received additional support after official data showed that inflation in the United States accelerated during October at a pace that exceeded expectations, coinciding with clear signals from monetary policy makers that reflect their willingness to move forward with tightening monetary policy.
In the same context, data from the CME Group’s “Feed Watch” tool indicates that traders are pricing in the possibility of raising interest rates in December at 100%.
Despite gold’s traditional status as a hedge against inflation, the rise in interest rates leads to raising the opportunity cost of holding the yellow metal, which does not generate a return, which negatively affects its investment attractiveness.
As for other precious metals, silver recorded a decline in spot transactions by 0.6%, reaching $51.40 per ounce, while palladium decreased by 0.3%, recording $1,024.48.
