Global gold prices saw a sharp decline in trading on Tuesday (November 10, 2026), following US inflation data that came in higher than expected, fueling a rally in the US dollar and Treasury yields.
Spot gold fell 2.7% to US$4,028.39 per troy ounce, while gold futures for December delivery closed 2% lower at US$4,030.20. Selling pressure intensified after the October Consumer Price Index (CPI) rose 0.4% month-on-month—surpassing market expectations of 0.3%, though slowing from the 0.6% increase seen in September.
The hotter-than-expected inflation has bolstered expectations that the Federal Reserve will maintain a tight monetary policy and potentially pursue more aggressive interest rate hikes in December. According to the CME FedWatch Tool, the market has begun to price in the possibility of a 50-basis-point hike, with the probability rising to 10% from near zero previously. Comments from Fed Governor Christopher Waller, which left the door open for more aggressive action, further reinforced this sentiment. The rise in the US dollar and Treasury yields has made gold more expensive for holders of other currencies, while also increasing the opportunity cost of holding a non-interest-bearing asset like gold.
Despite the sharp correction, gold has managed to hold above the psychological level of US$4,000 per troy ounce. Standard Chartered suggests that gold’s future trajectory will be heavily influenced by oil prices, inflation risks, and stock market conditions leading up to the Fed’s December meeting. Other precious metals also faced weakness: silver dropped 3.95% to US$51.30, platinum fell 2.7% to US$1,534.38, and palladium corrected 1.2% to US$1,028.83. Investors are now closely monitoring gold’s resilience around the US$4,000 level, as well as developments in U.S. monetary policy, to gauge the direction of its next move.
Source: Newsmaker.id