Gold Climbs to 3-Month High Ahead of US Inflation Data

Gold prices rose to their highest level in more than three months on Monday, supported by a weaker U.S. dollar and growing investor focus on the outlook for interest rates. Spot gold gained 0.8% to $4,641.27 an ounce after touching its highest level since May 15, while U.S. gold futures rose 0.4% to $4,697.70.

Markets are now awaiting the U.S. July PCE inflation data and a speech by Federal Reserve Chair Kevin Warsh at the Jackson Hole symposium later this week. Investors will closely watch for clues on the Fed’s interest-rate path, with a cautious policy tone potentially supporting further gains in gold.

Geopolitical tensions are also keeping markets on edge as the U.S. prepares new economic sanctions targeting Iran and its trading partners. Oil prices fell by more than $1 a barrel as investors took profits. Meanwhile, silver was steady at $68.98 an ounce, platinum edged up to $1,878.88 and palladium remained around $1,350.

Pic courtesy: google/ images are subject to copyright