Inflation Surprises and Middle East Uncertainty Weaken Rate Cut Expectations; Gold Prices Slightly Decline

On May 13, during Wednesday's trading session, gold prices experienced a slight decline due to uncertainty in the Middle East and inflation data from the U.S. that exceeded expectations, which weakened expectations for a Federal Reserve rate cut. Kyle Rodda, a senior financial market analyst at Capital.com, stated, "The U.S. inflation data has significantly reduced expectations for a rate cut by the Federal Reserve, even completely extinguishing such expectations. The market now seems to anticipate that the Fed may take action to raise interest rates before the end of the year. Therefore, this has put some downward pressure on gold prices." (Jin Shi)