Market Analysis: If U.S. inflation slows further, gold prices may test new highs

Jinse Finance reported that spot gold prices continued to rise, supported by expectations of further monetary policy easing in the United States, ongoing geopolitical risks, and strong investor demand. "Although US employment data is mixed, the market still expects the Federal Reserve to cut interest rates twice in the first half of 2026," said Bas Kooijman, CEO and asset manager of DHF Capital. Kooijman pointed out that investors are currently focused on the November Consumer Price Index (CPI) data to be released on Thursday, as further signs of easing inflation could lower yields, weaken the US dollar, and allow gold prices to test new historical highs. Meanwhile, geopolitical concerns have driven safe-haven demand, with US President Trump announcing a blockade of sanctioned Venezuelan oil tankers, and tensions in Eastern Europe and the Middle East remaining severe.