Gold Rises as Inflation Bets Drive Rally

Gold prices moved higher as investors await US inflation data, with softer CPI potentially curbing Fed tightening. Analysts say moderation in inflation would support gold and shift in rate-hike expectations has buoyed safe-haven demand. In India, 99.9% purity gold rose to about Rs 1.57 lakh per 10 grams, marking a two-month high driven by robust investment activity and a rally in silver. Platinum futures climbed toward an eight-week high as investment demand increased, with AI and data-center expansion cited as potential future drivers for PGMs, even as longer-term deficits are expected due to limited mine output. Market commentary highlighted that gold’s rise is driven by a mix of macro factors, geopolitical risks, and changing domestic demand, with silver outperforming gold in some markets and geopolitical tensions keeping volatility elevated. Investors remain focused on upcoming inflation data and central-bank signals, as mixed economic indicators keep expectations for rate moves and gold’s trajectory highly contingent on inflation and policy surprises.