Kuala lumpur: Gold futures on Bursa Malaysia Derivatives finished lower for a third consecutive day on Thursday, weighed down by expectations of higher United States (US) interest rates following the release of the US Personal Consumption Expenditures (PCE) inflation data later tonight.

According to BERNAMA News Agency, SPI Asset Management managing partner Stephen Innes said the US PCE inflation data release could validate near-term bearish pressure on gold prices if the reading comes in higher than expected. Innes highlighted that a significant factor contributing to the decline in gold prices is the sharp decrease in crude oil prices, which contributes to a broader disinflationary trend.

Innes mentioned that a flatter US yield curve, weak exchange-traded fund participation, and a broader speculative preference for the artificial intelligence (AI) trade boom have made it challenging for the yellow metal to attract investor support. He noted that gold is currently being perceived less as a macroeconomic hedge and more as capital being redirected into the AI trade.

At the close, the spot-month June 2026 contract fell to US$3,997.10 per troy ounce from US$4,073.70 at Wednesday's close, the July 2026 contract went down to US$4,011.50 per troy ounce from US$4,088.10 yesterday, and the August 2026 contract decreased to US$4,033.80 per troy ounce from US$4,110.40.

The September 2026 contract declined to US$4,038.30 per troy ounce from US$4,114.90 at the previous close, while the October 2026 and December 2026 contracts were lower at US$4,057.40 per troy ounce compared with US$4,134.00 yesterday. Trading volume slipped to 12 lots from 17 on Wednesday, while open interest shrank to 73 contracts from 82 previously. Meanwhile, physical gold was fixed at US$4,024.45 per troy ounce at the London Bullion Market Association afternoon fix on June 24, 2026.