Investing.com – Hours ahead of a highly anticipated release that may change the upcoming period, it rose, on Thursday, supported by the dollar’s decline.
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gold now
It rose 0.3% to 1882 dollars an ounce.
US gold futures rose 0.4% to $1,886.30 an ounce.
It is hovering near its lowest level in seven months, as it scored 102.7 points, down by 0.2%.
The return also fell to 3.535%. The dollar’s decline increases the attractiveness of the dollar-denominated metal to holders of other currencies.
gold when settling yesterday
Gold prices rose to an 8-month high on Wednesday, ahead of the release of inflation data in the United States today.
The precious metal benefits from investor optimism about rising demand, supporting the reopening of China’s economy with the easing of restrictions related to the epidemic.
HSBC (LON:) expected the Federal Reserve to raise interest rates for the last time at the next meeting on February 1, before turning to cut interest in 2024.
It rose for February delivery by 0.1%, or $2.40, to reach $1878.90 an ounce upon settlement.
The one who monitors the performance of the US currency settled against a basket of six major currencies at 103.276 points.
Inflation data expected today
Gold is currently moving in a narrow range, with focus shifting to US CPI data due on Thursday, said Ilya Spivak, head of global macroeconomics at Tatsi Life.
“If the data shows inflation subsiding, gold could surpass $1,900. However, it will be important to see if gold can get more momentum than that,” he added.
“Another bearish surprise in core CPI will reinforce the slowdown,” said Joe Capurso, strategist at Commonwealth Bank of Australia (OTC: CMWAY).
He added, “The US dollar will decline further because the weak core CPI will encourage the markets to continue to change.”
Futures prices have been bumpy but suggest that markets are now leaning towards a 3/4 chance of a 25 basis point rally next month.
Support from a weak dollar
Ajay Kedia, director at Kedah Commodities in Mumbai, said, “Gold prices are receiving great support from the weakness of the dollar. But from a technical point of view, the bullion is witnessing some resistance around the levels of $ 1880, and therefore it has been locked in a narrow range for several days.”
Investors’ focus remains focused on the US CPI data due today.
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