Overview:
Spot gold rose 0.1 percent to 3,879.71 dollars per ounce following the release of US inflation figures that aligned with expectations, though prices remain on track for weekly losses. Coal prices climbed to approximately 145 dollars per ton as global energy markets recovered and geopolitical tensions in the Middle East persist, driving utilities toward fossil fuel generation amid liquefied natural gas cost pressures.
Details:
Gold futures for December delivery settled at 3,922.97 dollars per ounce on US exchanges. The metal's gains reflect investor reaction to inflation data that neither surprised markets nor shifted near-term Fed policy expectations. However, the commodity remains under pressure on a weekly basis, indicating unresolved macroeconomic headwinds.
Coal's recovery from two-month lows stems from renewed energy demand concerns and sustained geopolitical risk. Multiple countries and power utilities have increased reliance on coal generation facilities as natural gas prices remain elevated and energy supply security becomes a priority. Coal had previously reached multi-year highs as liquefied natural gas costs surged, motivating energy providers to shift generation capacity toward coal infrastructure.
Meanwhile, the Russian Central Bank adjusted key currency rates against the ruble. The US dollar strengthened by 31.86 kopecks to 82.9903 rubles, while the yuan depreciated by 1.02 kopecks to 12.4009 rubles per unit. The euro weakened by 36.42 kopecks to 92.3322 rubles, reflecting broader pressure on non-dollar currencies amid US dollar momentum.
Outlook:
Investors are monitoring whether global energy market stability improves or whether supply concerns sustain upward pressure on coal and other commodities. US Treasury Secretary Scott Bentley's recent warnings to the Federal Reserve against raising rates during an energy supply crisis suggest policy flexibility may constrain further dollar appreciation and support commodity prices.