Gold Prices Maintained Their Gains After Inflation Data
Gold prices hold their gains amid expectations that inflation will be temporary.
Gold prices maintained their gains after
inflation data. Gold held its gains as investors thought the higher-than-expected inflation would be temporary. Gram gold, on the other hand, fell below the 520 TL level as the decline in USD/TL exchange rate outweighed the increase in global gold prices.
Inflation in the USA exceeded expectations in May and was announced as 5 percent annually, while it was realized as 0.6 percent monthly. Inflation was last announced at these levels in August 2008. According to the survey prepared by Bloomberg on inflation data, an annual increase of 4.7 percent and a monthly increase of 0.5 percent was expected in the consumer price index.
10-year US Treasury bond yield, which started the week at 1.55 percent, fell to 1.43 percent after the announced inflation data, while the
Bloomberg Dollar Spot Index fell to 1.115.
Ounce Gold
The ounce of gold, which gained value for 4 consecutive weeks, closed the week of June 4 with a loss. It is preparing to close this week with an increase of 0.43%. Although it has recovered its losses since the beginning of the year, the ounce of gold, which has not been able to hold on to this zone, is trading at $ 1,901 in Friday's transactions.
Gram Gold
Gram gold, which started the week at the level of 526 TL, then followed the movements in USD/TL exchange rate rather than global gold prices and dropped to 514 TL. Gram gold, which has appreciated by 13.4% since the beginning of the year, held on to the rise in the USD/TL exchange rate.