Gold Dips as Investors Await US Inflation Data Ahead of Jackson Hole
Gold prices dipped on Wednesday after reaching a three-month high in the previous session as investors awaited key US inflation data to gauge the Federal Reserve's interest-rate path.
The precious metal eased by 0.3% to $4,642.74 per ounce by 0410 GMT, while US gold futures rose 0.1% at $4,700.70.
The Fed's preferred inflation gauge, the US Personal Consumption Expenditures (PCE) price index for July, is due out at 1230 GMT, and attention is also on Fed Chairman Kevin Warsh's speech on Friday at the central bank's Jackson Hole symposium.
Wael Makarem, financial markets strategist lead at Exness, said a softer-than-expected inflation reading combined with a dovish or balanced message from Warsh could support gold prices by reducing real yields and the opportunity cost of holding non-yielding assets.