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Commodities

Gold Holds Steady Ahead of Key US Inflation Report

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Gold
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Gold prices held steady on Wednesday at $4,652.39 per ounce, following a surge to its highest level in over three months the previous day.

The stability came as investors awaited the US inflation report due later in the day, which could influence the Federal Reserve's interest-rate path.

According to Wael Makarem, financial markets strategists lead at Exness, 'for gold, the most supportive outcome would be softer-than-expected inflation combined with a dovish or balanced message from Fed Chairman Kevin Warsh.'

The recent Treasury bond buyback announcement has also boosted gold prices, which could impact US fiscal sustainability.

Meanwhile, traders are pricing in a 63.6% chance that the Fed will leave rates unchanged next month, according to the CME FedWatch Tool.

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