Gold rises on weaker dollar, lower oil ahead of US inflation data
GLD•Spot gold rose 0.2% to $4,178.97 an ounce as the dollar and oil prices fell ahead of US inflation data. Traders saw a 19% chance of a Fed rate hike this month and an 88% chance of a December increase.
1. Gold edges higher
Spot gold rose 0.2% to $4,178.97 per ounce by 9:19 a.m. EDT, while US gold futures gained 0.3% to $4,202.70. A weaker dollar and lower oil prices supported gold, with investors awaiting US inflation data and remarks from Fed Chair Kevin Warsh.
2. Rates and inflation outlook
The dollar and 10-year Treasury yields slipped from recent highs. Fed Governor Christopher Waller said the recent rise in yields reflected stronger economic growth rather than higher inflation expectations, which he described as “well anchored.” Traders priced in a 19% chance of a Fed rate hike this month and an 88% chance of a December increase.
3. Other precious metals fall
Silver fell 0.6% to $59.94 per ounce, platinum edged down 0.3% to $1,681.23, and palladium dropped 1.2% to $1,130.30.
