Gold Edges Up / Global Gold Price Today, 21 Mehr 1405

Gold prices rose slightly in Tuesday's trading.

According to Ambassador Arjan, the price of gold per ounce for immediate delivery decreased by 0.2% in the early trading of today's Asian market, but continued to increase by 0.4% to reach $4,185 69 cents. The precious metal hit a one-week high on Monday.

The price of an ounce of gold in the US futures market for December delivery increased by 0.5% to $4,209 and 90 cents.

The price of oil decreased in today's transactions. The increase in oil prices under the influence of the US and the Zionist regime's military aggression against Iran has intensified concerns about inflation and strengthened the arguments in support of the continuation of contractionary monetary policy.

While gold is commonly seen as a hedge against inflation, in a high interest rate environment, it loses its appeal as a zero-yield asset.

Markets are now awaiting the release of the US Consumer Price Index (CPI) report on Wednesday, followed by the Producer Price Index (PPI) on Thursday.

"US consumer price index data will be decisive for the gold market in the near term," said Kyle Ruda, senior financial market analyst at Capital.com.

He added: "If the inflation rate is higher than expected, and it creates even a slight increase in expectations for an interest rate hike in October, the price of gold may fall again."

Traders now see a 19 percent chance of a U.S. interest rate hike in October and an 85 percent chance of a rate hike by December, according to CME's Fed Watch tool.

According to the Reuters report, Beth Hammock, the president of the Cleveland Federal Reserve, announced that the US central bank should move relatively quickly towards a more contractionary monetary policy in order to curb inflation, because she believes that inflation has gained wider dimensions and this process is affecting the plans of companies to determine the prices of products and services.

In the market of other valuable metals, the price of silver per ounce increased by 0.2% and reached 60 dollars and 42 cents. The price of each ounce of palladium rose by 0.1% to $1,144 and 30 cents, and each ounce of platinum increased by 0.7% to $1,697 and 40 cents.