Weekly Round-Up: Gold Price Drops on US Inflation Data

Gold prices dropped again this week, falling to a two-week low on Thursday before the release of the US inflation data on Friday. Over the five-day period, the yellow metal decreased 1.44 percent overall to sit at $1,308.20 per ounce as of 12:10 p.m. EST.
On Friday, the Economic Calendar reported that the release of the US retail sales data wasn’t as strong as many were expecting and that jobless claims are still “at very low levels.”
That being said, according to BullionVault, gold prices tend to rise as the Federal Reserve rates increase as well, so it will be interesting to see if that will play out.
Silver prices had a bit of a zig-zag week, rising sharply at the start of the week before dropping off significantly on Tuesday. The decrease carried throughout the week as the white metal fell 0.58 percent over the five-day period. As of 12:51 p.m. EST, the silver price was $18.76 per ounce.
Much like gold, the silver price dropping was impacted by the upcoming Federal Reserve policy meeting.

Looking over to the base metals sector, copper prices made strong gains over the week, with a sharp increase around the middle-mark of the week rising from $2.10 per pound to $2.15 on Wednesday.
On Thursday, the price increased slightly to $2.16 per pound but by Friday it was back down. Over the five-day period, the copper price rose 2.30 percent overall and was $2.15 per pound as of 1:20 p.m. EST.
The Economic Calendar reported on Thursday that copper prices became “heavily overbought” as a result of the gain on Wednesday.
Lastly, spot oil prices also dropped significantly over the week, losing 6.77 percent to sit at $42.94 as of 1:20 p.m. EST.
According to Reuters, the oil price losing steam is a result of Iranian exports reinforcing fears of a “global glut.”
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