Gold Edges Up on Weaker US Dollar, Investors Eye Economic Indicators

Gold prices have edged up globally as the persistent weakness in the US dollar index makes dollar-denominated bullion more attractive to foreign currency buyers.

The spot price of gold rose 0.3 percent to $4,414.28 per ounce, following a 0.7 percent gain in the previous session, while US gold futures for December delivery dipped slightly by 0.1 percent to $4,457.20 per ounce.

Edward Meir, an analyst at Marex, noted that foreign exchange shifts are currently overriding regional geopolitical developments in the Persian Gulf, adding that the greenback has unexpectedly failed to strengthen despite the prospect of US interest rate hikes.

Investors are closely monitoring key upcoming US economic indicators, including the Producer Price Index (PPI) due later today and the Consumer Price Index (CPI) scheduled for release on Friday. However, market sentiment remains divided with some anticipating a rate hike this month.