Gold Prices Steady but Headed for Monthly Decline Amid Interest Rate Expectations
Gold prices have steadied but are on track to decline for the month as investors weigh expectations of higher interest rates. Spot gold was little changed at $4,180.30 per ounce, while US gold futures gained 0.8% to $4,212.70.
The dollar is headed for a monthly gain, making greenback-denominated metals more expensive for holders of other currencies.
Investors are bracing for the release of US inflation data at 1230 GMT, which could influence expectations for US monetary policy and impact Treasury yields and the dollar.
Tony Sage, CEO of Critical Metals, said the PCE data release will be an important test for gold. He noted that a softer reading would likely support gold, while a hotter number could push yields and the dollar higher, putting renewed pressure on gold and testing the $4,100 level.