Gold: slipped below $1,870 an ounce on Monday, easing from a one-month high hit earlier in the session, as red-hot US inflation data lifted the dollar and Treasury yields and dented demand for the safe-haven bullion.
US consumer prices unexpectedly accelerated to a fresh 40-year high of 8.6% in May, raising the likelihood that the Federal Reserve would continue with its 50-basis point rate hikes through September to combat inflation.
Meanwhile, gold briefly disconnected itself from moving inversely to the dollar on Friday as risk aversion dominated markets amid concerns over a potential blow to the US economy from aggressive monetary tightening.
The CPI data served as a wakeup call to financial markets that inflation remains entrenched and has real upside risks
