Gold Falls Below $4000 an Ounce Amid Inflation Concerns and Rising Oil Prices

Gold prices fell by more than one percent on Friday, dropping below $4000 an ounce, influenced by rising oil prices and inflation concerns, with the yellow metal heading towards its second consecutive monthly loss. By 11:00 GMT, the spot gold price declined to $3990 an ounce. This decrease comes amid global market volatility driven by tensions in the Middle East and rising oil prices, alongside worries about the impact of higher energy costs on inflation rates. The decline also follows the Federal Reserve's monetary policy decisions during its meeting on October 27-28. Gold is set to record a monthly loss of approximately 3.5 percent in October compared to September, due to sustained oil price increases and inflation fears. Other precious metals also saw declines, with spot silver dropping 3.3 percent to $51.14 an ounce, and platinum falling 3 percent to $1453 an ounce. Global markets are experiencing increased volatility amid concerns over the repercussions of the US-Israeli conflict with Iran since February 28, affecting energy prices and inflation. Negotiations between Washington and Tehran remain stalled despite a memorandum of understanding signed in June, due to disputes over navigation in the Strait of Hormuz.