Kuala lumpur: Gold futures on Bursa Malaysia Derivatives ended lower today, weighed by concerns that US interest rates could remain higher for longer despite softer-than-expected inflation data.

According to BERNAMA News Agency, Quintex Intel global strategist Stephen Innes stated that the softer US consumer price index (CPI) had reduced expectations of a near-term rate hike by the Federal Open Market Committee, which should support demand for gold. However, bullion slipped below US$4,400 per troy ounce as investors remained focused on the outlook for US interest rates.

"The US dollar recovered virtually all of its post-CPI losses, which suggests to me that traders have already moved past the inflation print and pivoted towards the 48th Jackson Hole Economic Policy Symposium at the end of this month for the next meaningful policy cue," Innes told Bernama. He also noted that there remains a strong suspicion in the market that some central bank gold demand is going unreported in real-time, providing a persistent bid underneath the market. Despite higher US bond yields posing a short-term challenge, physical and official-sector demand is expected to support gold on deeper pullbacks.

At the close, the spot-month August 2026 contract fell to US$4,388.80 per troy ounce from US$4,424.20 per troy ounce on Wednesday, while the September 2026 contract declined to US$4,405.00 per troy ounce from US$4,445.90 per troy ounce previously. The October and November 2026 contracts both decreased to US$4,421.20 per troy ounce from US$4,457.60 previously, while the December 2026 contract dropped to US$4,429.90 per troy ounce from US$4,457.60.

Trading volume increased to 218 lots from 169 lots yesterday, while open interest rose to 301 contracts from 269 contracts previously. Physical gold was fixed at US$4,426.65 per troy ounce at the London Bullion Market Association's afternoon fix on Aug 12, 2026.