Gold, silver rally to highest since mid-June after more tame U.S. inflation data

Gold and silver futures gained Wednesday after the latest monthly U.S. consumer price index data showed milder inflation, boosting the possibility that the Federal Reserve may soon stop its interest rate hikes.

The June CPI rose by a smaller than expected 0.2%, while the yearly rate of inflation slowed to 3% from 4% in May, marking the mildest inflation reading since March 2021, while core CPI excluding food and energy rose 4.8%, compared with expectations for a 5% increase.