Gold extended its slide below $4,000 an ounce in early trading on Thursday, 12 November 2026, falling for a third consecutive day as stronger-than-expected US inflation data increased bets on further US interest rate rises.

Spot gold fell to an intraday low near $3,968 in early Asian trading, according to TradingKey, and was trading at about $3,982 an ounce in early trading on Thursday, based on the UK spot price of £2,986.50 an ounce. A separate price tracker recorded a snapshot of $3,994.60 an ounce at 01:11 UTC, with futures for 12 November opening at $3,994.00 and reaching a high of $4,005.50 before falling to a low of $3,973.50.

Hot US inflation drives the fall

Data from the US Bureau of Labor Statistics showed that US consumer prices rose 0.4% month on month in October, above the market expectation of 0.3%. The stronger reading pushed up the US dollar and government bond yields, both of which tend to weigh on gold because the metal pays no interest.

CME data showed that traders raised the priced-in probability of a 25-basis-point US Federal Reserve rate rise in December to 90.6%, while the probability of a larger 50-basis-point rise climbed to 9.4%. The US 10-year Treasury yield stood at 5.00% and the dollar index at 102.85.

Gold has now recorded three consecutive lower daily lows. In the short term, $4,000 has become the level gold needs to reclaim, according to TradingKey, while support is seen near $3,960 if prices remain below that level.

Gold price in the UK

In the UK, the spot gold price was £2,986.50 an ounce on Thursday morning, equivalent to £96.02 a gram for 24-carat gold. A European price tracker put the spot price at €3,596.28 an ounce at 04:59 on 12 November, or $4,001.58 and £3,007.14 an ounce at the European Central Bank reference rate of 11 November, up 0.80% over 24 hours.

The fall in gold comes after a sharp rally earlier in the year took the metal above $4,000. Gold had already closed below $4,000 on Wednesday, and Thursday's early trading extended that move as traders reassessed the outlook for US interest rates.

What traders are watching next

Traders will watch whether gold can hold above the $3,960 support area and whether it can move back above $4,000. Further US data is due this week, including producer inflation figures on Friday, along with further comments from Federal Reserve officials, which could set the direction for the dollar and for gold.

Gold prices can move quickly when interest rate expectations change, and the metal has been sensitive in recent sessions to each new piece of US economic data.

Sources: Mitrade / TradingKey and The Metal Vein. Prices are indicative spot prices and change during trading; this article is for information only and is not financial advice.