Daily digest market movers: Gold price climbs despite high US yields, strong USD

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  • Gold price upside remains capped by the rise in US Treasury yields. The US 10-year benchmark note edges up two basis points, yielding 4.096%.
  • Consequently, the buck posts gains as seen by the US Dollar Index (DXY). The DXY posts minimal gains of 0.09% at 102.97.
  • The US Consumer Price Index (CPI) for September rose by 2.4% YoY, exceeding estimates of 2.3%, though still lower than August's figure. Core CPI increased by 3.3% YoY, surpassing forecasts and August's 3.2%.
  • On a monthly basis, CPI rose by 0.2%, unchanged from the previous month and above the consensus estimate of 0.1%. Core CPI remained steady at 0.3%, exceeding the forecast of 0.2%.
  • Initial Jobless Claims for the week ending October 5 rose to 258K, up from 225K the previous week, and exceeded the estimated 230K.
  • New York Fed's John Williams expects inflation to end at 2.25% in 2024 and GDP to hit 2.25% to 2.50% by the end of the year.
  • Data from the Chicago Board of Trade via the December fed funds rate futures contract shows investors estimate 47 bps of easing by the Fed toward the end of 2024.


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