Forex
Dollar Strength Cools Gold Rally to $4,600
Gold prices paused near $4,600 on Thursday as a strong US Dollar checked the rally. Despite this, gold remains above its weekly low.
The latest US inflation figures showed that the Personal Consumption Expenditures (PCE) Price Index held steady at 3.7% year-on-year in July, above forecasts and reinforcing expectations for at least one more Fed rate hike this year.
US government bond yields remain under pressure due to the Treasury's buyback strategy, but a possible US-Iran peace arrangement has limited the Dollar's upside and provided some countervailing support for gold.