Inflation Shows Unexpected Resilience; New York Gold Prices Close Lower After Volatile Trading on the 12th

　　Source: Xinhua Finance

　　Xinhua Finance, New York, May 12 (Reporter Xu Jing) - On May 12, the most actively traded June 2026 gold futures on the New York Mercantile Exchange fell by $23, settling at $4,722.6 per ounce, a decline of 0.48%.

　　A stronger dollar, rising US Treasury yields, and another climb in crude oil prices curbed upward momentum for gold in the short term. In particular, the US CPI data released during the session, which exceeded expectations, also dampened bullish sentiment in the precious metals market. However, overall gold prices remained fluctuating near the $4,700 per ounce threshold.

　　Specifically, data released by the US Department of Labor on the 12th showed that the Consumer Price Index (CPI) rose 0.6% month-on-month in April, compared with a 0.9% increase in March, in line with market expectations; the year-on-year increase accelerated from 3.3% previously to 3.8%, above the market average forecast of 3.7%.

　　Excluding the more volatile food and energy prices, core CPI in April rose 0.4% month-on-month, higher than 0.2% in March and also above the market expectation of 0.3%. On an annual basis, the core inflation rate rose from 2.6% to 2.8%, also higher than the expected 2.7%.

　　Analysts generally believe that inflation data surpassing expectations has reinforced market expectations that the Federal Reserve may maintain higher interest rates for a longer period or even consider raising rates, thereby pushing up US Treasury yields.

　　In addition, international oil prices have again risen above $100 per barrel, adding pressure to the precious metals market. By the close on the 12th, June delivery light crude oil futures on the New York Mercantile Exchange rose by $4.11, settling at $102.18 per barrel, an increase of 4.19%; July delivery London Brent crude oil futures rose by $3.56, settling at $107.77 per barrel, an increase of 3.42%.

　　Although gold prices have fallen by about 12% since the outbreak of the US, Israel, and Iran conflict, analysts say this selloff only reflects the macroeconomic impact of oil price shocks, not a loss of gold's safe-haven function—especially as data shows central bank gold demand still grew by 17% quarter-on-quarter in Q1 this year. ING, in its latest report, predicts that gold prices will reach $5,000 per ounce by the end of this year.

　　Benefiting from disruptions caused by Peru's energy decree and additional boosts from stronger copper prices, New York silver prices saw moderate gains after intraday fluctuations on the 12th. July delivery silver futures for the day rose by 40 cents, settling at $87.205 per ounce, an increase of 0.46%.

Editor: Zhu Henan