Gold Soars Above $4,400 an Ounce Ahead of US CPI Data Release

Gold prices rose above $4,400 an ounce for the first time in two months ahead of the US consumer price index data release on August 13. The metal gained 0.7% on August 10 to reach a high of $4,412.80 an ounce intraday, its highest level since June. According to Hebe Chen, an analyst at Vantage Markets, there are early signs that gold's recent decline is shifting into a new upswing.

The rally in gold was supported by technical buying after the metal broke above the 100-day moving average in the previous session. Additionally, inflows into Chinese gold exchange-traded funds and increased purchases by central banks also contributed to the price increase.

Market attention is now focused on the US July CPI report due on August 13. Economists surveyed by Bloomberg expect a 0.1% rise in the index from the previous month, after a 0.4% decline in June. However, rising energy prices could intensify inflation pressures and increase the chances of an additional interest-rate hike by the Federal Reserve.