Gold Slides as Dollar Strength Weighs on Sentiment Ahead of US Inflation Data
Gold prices are on track for a monthly decline as investors await US inflation data to gauge the Federal Reserve's next policy move. Spot gold fell 0.2% to $4,170.63 per ounce by 0150 GMT, having lost more than 6% so far this month.
The dollar is headed for a monthly gain, making greenback-denominated metals more expensive for holders of other currencies. The US personal consumption expenditures (PCE) price index is due at 1230 GMT and could influence expectations for US monetary policy.
Critical Metals CEO Tony Sage said the PCE data release will be an important test for gold. 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.