Gold closed the week with a 4.7% loss: gram gold selling at 6,280.54 TL

Gold closed the week with a loss under the influence of expectations regarding US monetary policy and a strengthening dollar. According to the data, on Friday, November 13, the spot gold ounce price closed at $3,884.77 with a limited 0.2% gain, while futures gold contracts declined 0.2% to $3,877.62. In both markets the total weekly loss was 4.7%; on the futures side, the sharpest weekly decline since the beginning of June was recorded. Over the same period, the US dollar index gained 1.1%.

The downward pressure gained momentum after the US employment data published on November 6. Non-farm payrolls for October rose by 165,000, above the market estimate of 65,000; a total upward revision of 84,000 was made to the August and September data. In the US Consumer Price Index released on Tuesday, November 10, the October monthly increase was 0.4%, exceeding the 0.3% expectation; in September the monthly increase had stood at 0.6%. Core inflation excluding food and energy came in at 0.3% month-on-month against an estimate of 0.2%.

Federal Reserve Board of Governors member Christopher Waller, in his speech on Tuesday, said he would favor a rate hike even if inflation figures came in below estimates, and noted that a 50 basis point increase could come onto the agenda in the face of high inflation data. The US Producer Price Index released on Friday, November 13 partially eased the pressure: the monthly increase in October remained at 0.3%, below the 0.4% expectation, but annual PPI reached 6.5%, its highest level since November 2022. According to market pricing, roughly a 90% probability is assigned to a 25 basis point increase emerging from the December 9 Fed meeting, and a 10% probability to a 50 basis point increase.

On the oil side, Brent's barrel price finished Friday with a 0.4% rise at $96.16; Brent, which tested below $90 during the week, lost more than 2% on a weekly basis. Current figures in the domestic market are as follows: gram gold buy 6,279.53 TL, sell 6,280.54 TL; quarter gold buy 10,124.56 TL, sell 10,356.37 TL; half gold buy 20,185.84 TL, sell 20,712.74 TL; full gold buy 40,498.23 TL, sell 41,298.79 TL; Ata gold buy 41,763.80 TL, sell 42,819.00 TL; 22-carat bracelet buy 5,771.00 TL, sell 5,776.76 TL.