Gold and Silver Prices Soar Again, Thanks to America!

Gold and silver prices rebounded sharply, supported by positive news from the United States (US).

According to Refinitiv, gold prices closed at US$4,053.89 per troy ounce on Tuesday (14/7/2026), up 1.33%.

The rise came as welcome news after gold prices tumbled 2.9% on Monday.

On Wednesday (15/7/2026) at 06.38 WIB, gold was nearly flat, slipping 0.008% to US$4,053.59 per troy ounce.

The rally followed US inflation data coming in lower than expected. This has sparked hopes that the Federal Reserve (The Fed) will take a softer stance on interest rate policy.

The strengthening was also driven by a 0.66% decline in the US dollar index to 100.919. The weaker dollar makes gold cheaper for holders of other currencies.

US inflation slowed to 3.5% year on year (yoy) in June, down from 4.2% in May, whilst monthly core inflation remained at 0%, below market expectations.

On a monthly basis, the Consumer Price Index (CPI) fell, recording deflation of 0.4%, exceeding expectations of a 0.1% deflation. This is the first deflation since May 2020 and the largest monthly contraction since April 2020, the onset of Covid-19.

The data prompted market players to change course. They cancelled their forecasts for a Fed rate hike at the end-of-July meeting.

“Gold shot up after US CPI data came in far below expectations. Headline inflation fell sharply, whilst core inflation was unchanged. This is expected to cut expectations of a Fed rate hike, at least at the July and September meetings,” said Tai Wong, an independent metals analyst, told Reuters.

Nevertheless, Fed Chair Kevin Warsh affirmed that the central bank’s priority remains returning inflation to its 2% target. Investors are now awaiting the release of the US Producer Price Index (PPI) on Wednesday for further clues on the direction of monetary policy.

Meanwhile, the US-Iran conflict has flared up again after Iran fired ballistic missiles at a US military base in Jordan.

In response, the US military launched a five-hour assault on Iranian targets in a battle for control of the Strait of Hormuz. The tension pushed oil prices to a four-week high and risks reigniting inflationary pressure.

Silver prices also took off.

According to Refinitiv, silver closed at US$58.63 per troy ounce on Tuesday (14/7/2026), soaring 1.7%.

The rise was welcome news after silver tumbled 3.7% on Monday.

On Wednesday (15/7/2026) at 06.38 WIB, silver strengthened 0.23% to US$58.76 per troy ounce.