Gold Prices Hold Steady Above $4,400 Amid Inflation Data Uncertainty

Gold prices held steady above $4,400 an ounce on Wednesday as traders awaited US inflation data that could reshape Federal Reserve rate expectations. The July consumer price index report is expected to show a 0.1% monthly increase, following a 0.4% decline in June.

Spot gold rose 0.6% to $4,395.80 an ounce, reclaiming its 100-day moving average, while silver, platinum, and palladium also advanced. The market is focused on the inflation data, with traders seeing the odds of a September rate hike as roughly even.

The unresolved standoff over the Strait of Hormuz has pushed Brent crude higher for six straight sessions, complicating the inflation outlook. China's central bank added gold for a 21st consecutive month in July, its largest purchase since October 2023.