Gold Prices Slip After Touching Two-Month High Amid Inflation Cues

Gold prices touched their highest since June 5 earlier this week but slipped on Thursday as traders paused to wait for inflation cues. According to Reuters, spot gold fell 0.5% to $4,383.53 per ounce by 0601 GMT after jumping about 1% to its highest level in two months.

The rally was fueled by cooling US inflation, which has led traders to scale back bets on interest rate hikes. 'Gold is in consolidation mode today after its post-CPI gains,' said Tim Waterer, chief market analyst at KCM Trade. 'Traders appear content to wait for confirmation from the upcoming PPI data before committing to the next leg higher.'

Prices have risen over 8% so far this month as traders dial back their expectations of a Fed rate hike. The consumer price index rose 3.4% in the 12 months through July, down from 3.5% in June.