Gold Pulls Back Ahead of US Inflation Data and Fed Speech

Gold prices eased back on Wednesday after hitting a three-month high in the previous session. The metal was trading at $4,642.74 per ounce, down 0.3% from Tuesday's close.

The decline comes as investors await key US inflation data due later today and Friday's speech by US Federal Reserve Chairman Kevin Warsh at the Jackson Hole symposium.

According to Wael Makarem, financial markets strategists lead at Exness, a softer-than-expected inflation reading combined with a dovish message from Warsh could boost gold prices. He also noted that renewed concerns about US fiscal sustainability could be supportive for gold.

In related news, oil prices fell after Iran announced it had restarted talks with Oman to manage the Strait of Hormuz, which is a key shipping route.