Gold edges higher on weaker dollar, US inflation data in focus
GLD•Gold inches higher as dollar softens
Sept. 10 (Reuters) - Gold inched higher on Thursday, helped by a softer dollar, while market participants awaited key U.S. inflation data that could shape the Federal Reserve's interest-rate path.
Spot gold XAU= was up 0.3% at $4,414.28 per ounce, as of 0419 GMT. U.S. gold futures GCcv1 for December delivery fell 0.1% to $4,457.20.
Geopolitical tensions and other metals
"For now, the geopolitical developments in the Persian gulf are of secondary importance to gold. Gold instead is teeing off on a weaker dollar, which notably is not moving up despite the fact that U.S. rates are going higher," Marex analyst Edward Meir said.
The U.S. dollar =USD remained subdued, making dollar-priced metals less expensive for holders of other currencies. USD/
On the geopolitical front, Iran said on Wednesday it had attacked 10 ships near the Strait of Hormuz after the U.S. sank five Iranian oil tankers, in the biggest wave of attacks on shipping by both sides since the start of the six-month-old war.
Among other metals, spot silver XAG= rose 0.3% to $67.50 per ounce, platinum XPT= fell 0.4% to $1,888.05 and palladium XPD= gained 0.2% to $1,356.20.
Inflation data and Fed outlook in focus
The U.S. producer price index data is due at 1230 GMT, and consumer inflation figures are scheduled for release on Friday.
The Fed will hold its interest rate steady at its September 15-16 meeting and for the rest of this year, again defying market expectations for a series of hikes, according to a majority of economists in a Reuters poll.
The CME FedWatch Tool showed markets pricing in a 60% chance of a U.S. rate increase this month. Higher rates generally make non-yielding assets less attractive to investors.
