Gold, silver prices fall as dollar holds steady

Gold and silver prices declined in Thursday trading after US inflation recorded its fastest pace in three years, while renewed geopolitical tensions in the Middle East raised concerns about additional inflationary pressures.

Meanwhile, the US dollar index, which measures the greenback against a basket of six major currencies, was little changed at 99.95.

Geopolitical tensions escalated after the US military carried out a new round of strikes against multiple targets in Iran, following President Donald Trump’s warning that further attacks could be launched if a peace agreement is not reached, Reuters reported.

*As of 7:58 a.m. Makkah time.

Markets are awaiting the European Central Bank’s monetary policy decision later today, with expectations of an interest rate hike in the eurozone, ahead of the release of US Producer Price Index (PPI) data later in the day.