Gold Prices Soar as US Inflation Data Boosts Market Sentiment

The gold market has seen a surge in activity following the release of the US July inflation data, which showed a drop in core inflation to its lowest level since March 2021. As a result, the expectation that the US Federal Reserve (Fed) will ease its pressure on interest rates has led to a rise in gold prices, with the ounce price reaching $4,441 and the gram price reaching 6,779 TL, both hitting record highs. The much-anticipated US July inflation data has been released, revealing that core inflation indicators are at low levels, while the annual core inflation rate has seen its slowest increase since March 2021. Despite high petrol prices, the data aligns with expectations, significantly easing the pressure on the US Federal Reserve (Fed) to raise interest rates. Valuable metals, taking advantage of the dollar index staying below the critical 100 level, have rapidly risen as concerns over interest rates have decreased. The positive sentiment in the markets has strongly supported the rise in gold prices.