Gold Edges Higher Ahead of Key US Inflation Data

Gold prices edged higher on Tuesday, reaching near a two-month peak ahead of key US inflation data. Traders are waiting for clues on the Federal Reserve's policy path.

Spot gold rose 0.2% to $4,396.87 an ounce at 11:05 a.m. EDT (1505 GMT), after touching its highest level since June 5 at $4,434.84.

US gold futures gained 0.8% to $4,456.10.

Peter Grant, vice-president and senior metals strategist at Zaner Metals, said 'the market is looking ahead to this week's inflation data for some kind of confirmation that inflation is in check.'

A moderation in the annualised CPI should continue to support gold, according to Grant.