Gold Surges Towards 10-Week High Ahead of US Inflation Data

Gold prices rebounded on Wednesday, reaching a 10-week high as investors braced for US inflation data that could reshape policy expectations.

The spot price of gold gained 0.6% to $4,391.82 per ounce by 0535 GMT, while US gold futures for December delivery rose 0.2% to $4,451.90.

Bullion's climb was attributed to reduced bets on Federal Reserve tightening next month, with traders pricing in a 50% chance of a hike in September, down from 60% before the jobs report.

'The primary driver for gold is the reduction in pricing of rate hikes by the Fed,' said Kelvin Wong, a senior market analyst at Oanda.