Softer US Inflation Spikes Gold Prices Amid Rate Hike Uncertainty

Gold prices rose on Thursday after a softer-than-expected US inflation report reduced expectations for a Federal Reserve rate hike in October.

The spot price of gold gained 0.8% to $4,187.43 per ounce by 6:25 AM GMT, starting the month on a positive note after a more than 6% fall in September.

US inflation rose less than expected in August, while price pressures were revised lower for the prior month, reducing expectations of a rate hike in October.