Gold Prices Unfazed Ahead of Crucial Inflation Data and Rate Decision

Gold prices remained steady in early Asian hours on Thursday as investors awaited key inflation data releases that could impact the US central bank's interest rate decisions. Spot gold held its ground at $4,396.69 per ounce, while U.S. gold futures for December delivery dipped by 0.4% to $4,440.80.

The upcoming inflation readings, including the US producer price index data due at 1230 GMT and consumer inflation figures on Friday, could influence the Federal Reserve's interest rate path. A Reuters poll suggests that the Fed will maintain its current stance of steady interest rates for the remainder of this year.

However, a majority of economists polled expect a US rate increase by the end of this month, which would make non-yielding assets like gold less attractive to investors. The European Central Bank is set to raise interest rates on Thursday for the second time this year, aiming to combat energy-driven inflation triggered by the Iran war.