Finance

U.S. retail sales for July contracted by 0.6%, pointing to cooler consumer demand and easing expectations for near-term tightening from the Federal Reserve. Financial markets adjusted their projections following the report, with a growing majority of analysts predicting that the central bank will choose to maintain steady interest rates in September rather than announce another increase.

Crude oil benchmarks experienced renewed upward pressure late in the week, with Brent crude moving toward $88 per barrel. Price volatility remains driven by ongoing shipping blockages and direct attacks on tankers attempting to leave the Persian Gulf. These geopolitical bottlenecks continue to raise energy supply concerns and have partially offset broader market optimism regarding slowing inflation.

Spot gold oscillated near $4,400 an ounce as cooling inflation metrics offered support to non-yielding precious metals. Lower Treasury yields generated a tailwind for bullion, although gains were limited on Friday by profit-taking and the inflationary risks posed by rising oil prices. Despite these headwinds, the metal retains a monthly surge of roughly 10%.