01:42 PM EDT, 07/14/2026 (MT Newswires) -- (Updates prices in the second and final paragraphs.)

Gold rose off an eight-month low on Tuesday as the U.S. dollar and yields weakened after the consumer prices eased in the world's biggest economy in June, easing concerns rising prices would force higher interest rates.

Gold for August delivery was last seen up $57.50, or 1.4%, to $4,063.20 per ounce, after falling to the lowest since Nov. 6 a day earlier.

The US Bureau of Labor Statistics reported the Consumer Price Index fell by 0.4% in June, down from a rise of 0.5% in May and against expectations for a fall of 0.2%, according to Marketwatch. The drop was the largest monthly decrease since April 2020, the agency said. Falling energy prices were the largest contributor.

Core CPI, excluding volatile food and energy, was unchanged in June, down from a monthly rise of 0.2% in May and under expectations for a rise of 0.2%.

Lower inflation is easing worries the Federal Reserve will need to raise interest rates to calm rising prices, however oil surged again since the U.S. and Iran renewed fighting on the weekend.

"Gold briefly fell below USD 4,000 on Monday as surging oil prices reignited inflation and rate hike concerns," Saxo Bank wrote. "However, it subsequently rebounded above that level as the dollar and Treasury yields failed to strengthen further despite the latest geopolitical developments, potentially signalling the first break in the recent market reaction function linking higher oil prices with weaker precious metals."

The dollar was lower following the inflation data, with the ICE dollar index last seen down 0.3 points to 100.94. Treasury yields were lower, with the yield on the US two-year note last seen down 8,2 basis points to 4.214%, while the 10-year note was paying 4.586%, down 3.4 points