According to Caijingjie news, a Mitsubishi UFJ Financial Group analyst said whether oil prices can boost inflation will be the key to gold’s near-term direction. Despite U.S. inflation data coming in below expectations, gold prices still fell. As energy costs declined, the U.S. Producer Price Index (PPI) dropped last month, but June’s inflation data has not yet reflected the impact of the latest escalation in U.S.-Iran tensions. The market is closely watching how the Federal Reserve will respond, and investors are currently waiting for remarks from Fed officials to get more clues about the outlook for monetary policy.