Gold trades near $4,400 as Middle East risks offset US CPI data
Gold traded close to $4,400 per troy ounce as persistent Middle East friction balanced out softer US inflation data that tempered Federal Reserve interest rate expectations.
Gold Market
Gold traded close to $4,400 per troy ounce as persistent Middle East friction balanced out softer US inflation data that tempered Federal Reserve interest rate expectations.
Gold prices surpassed $4,400 per ounce after US consumer inflation softened in July, encouraging expectations that the Federal Reserve will leave interest rates unchanged at its upcoming policy meeting.
Gold stabilised below $4,400 during Asian trading on Wednesday as rising energy prices and renewed US rate hike expectations offset recent safe-haven gains ahead of key inflation data.
Gold dipped slightly to $4,381 per ounce on Tuesday as investors paused ahead of key US consumer price index figures and monitored Middle East risks.
Gold hit a two-month high of $4,435 per ounce before pulling back as surging crude oil prices renewed inflation fears and pushed market expectations toward a potential Federal Reserve interest rate hike.
Gold climbed beyond $4,400 per troy ounce on Tuesday to hit a two-month high, driven by soft US employment figures and rising Middle East geopolitical risks.
Gold moved higher to around $4,352 per troy ounce as delayed negotiations over the Strait of Hormuz and upcoming US inflation figures kept market participants on standby.
Gold took a breath on Monday, trading near $4,345 per ounce after last week's 7% surge. Markets are weighing Federal Reserve rate expectations ahead of crucial US inflation figures.
Spot gold rose above $4,320 per troy ounce as China's central bank extended its official reserve accumulation to 21 consecutive months alongside rising investment demand.