Gold retreats as upward momentum hits pause ahead of US inflation data
GLD•Other precious metals fall
Spot silver XAG= fell 1.7% to $67.76 per ounce, platinum XPT= dropped 2% to $1,837.94, and palladium XPD= was down 2.8% at $1,319.50.
Markets watch US inflation data and Fed remarks
Bullion rose to as high as $4,696.18 an ounce earlier in the day, as investors continued to parse the U.S. Treasury Department's recent decision to double the size of liquidity support buyback operations for longer-dated notes and bonds, that drove the dollar to an over 3-month low last week.
Markets are now focused on Wednesday's U.S. Personal Consumption Expenditures (PCE) inflation report for July and Fed Chair Kevin Warsh's remarks at the Jackson Hole symposium on Friday for further clues on the central bank's monetary policy outlook.
While Fed tracks the PCE data for its 2% inflation target, soft producer and consumer inflation figures this month diminished chances of imminent U.S. rate hikes.
Traders are currently pricing in only a 38% chance of a U.S. interest rate hike in September, according to the CME FedWatch Tool. FEDWATCH/
