Gold little changed with US inflation data in spotlight
NEW YORK: Gold was little changed in early Asian trade on Wednesday as investors awaited key US inflation data for clues on the Federal Reserve's interest-rate path.
Gold traded almost unchanged in early Asian markets on Wednesday as investors awaited key U.S. inflation data that could influence the Federal Reserve's interest-rate decisions. Spot gold settled at $4,654.17 per ounce, nearly flat after reaching a three-month high the previous day. U.S. gold futures increased by 0.4% to $4,711.40.
The Federal Reserve's preferred inflation indicator, the Personal Consumption Expenditures (PCE) price index for July, is scheduled for release at 12:30 GMT. Recent economic data revealed a decline in U.S. nonfarm payrolls and a stable consumer inflation reading, reducing expectations of a September rate hike. Market expectations now stand at a 60.4% probability of a rate hold in September, according to the CME FedWatch Tool.
Gold's appeal often increases when interest rates are low, as it is a non-yielding asset. Attention is also focused on Fed Chairman Kevin Warsh's speech at the Jackson Hole symposium on Friday. Iran has resumed talks with Oman to manage tensions in the Strait of Hormuz amid heightened economic pressures from the U.S. In response, Canada imposed retaliatory tariffs on approximately $20 billion worth of U.S. annual imports, matching the dollar-for-dollar duties imposed by Washington.
China's net gold imports through Hong Kong increased by about 11% in July compared to June. Meanwhile, silver rose by 0.2% to $68.80, platinum increased by 0.1% to $1,858.91, and palladium gained 1.1% to $1,341.23.
Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
