Under pressure from US inflation

Gold remained flat after US inflation fell for a second day, exceeding expectations. On the other hand, gold per ounce was traded at a premium of $90 on the Shanghai Gold Exchange, reaching a historic high. Gold remained flat after US inflation on Wednesday indicated that the Fed may implement monetary tightening this year, extending its decline for a second day. Spot gold is traded at $1,905 per ounce. Gold per gram, calculated using the ounce of gold and the interbank USD/TL exchange rate, is finding buyers at $1,650. Core inflation, which excludes food and energy costs, the Fed's favorite inflation indicator in the US, rose 0.3 percent in August compared to the previous month, exceeding expectations. Following the inflation data, according to the CME FedWatch tracking program, investors predicted with a 97 percent probability that the Fed will keep interest rates steady at its September meeting, while the probability that interest rates will be increased at its November meeting was 42 percent. Swap investors now see a 50 percent chance that the US Federal Reserve will make another increase in its bid to control inflation. Experts say that the biggest uncertainty in the gold market is the Fed's interest rate cut path for 2024, and that this situation stands out as the biggest factor in gold's volatility. While bond yields increased following the data, this situation is expected to negatively affect gold, which has a negative correlation with high interest rates and bond yields. According to Bloomberg's calculations, spot gold on the Shanghai Gold Exchange traded at a premium of over $90 per ounce compared to international markets on Wednesday. This increase, which occurred as the weak yuan increased prices in recent weeks, was recorded as the highest level seen on the exchange, which was established 20 years ago.