Gold prices dip as US inflation test looms By
2024-05-13 14:20:09

-- Gold prices retreated in Asian trade on Monday, consolidating some recent gains as traders turned more biased towards the dollar ahead of key U.S. inflation data due later in the week.

The yellow metal saw some strength last week as some signs of a cooling U.S. economy sparked speculation over eventual interest rate cuts by the Federal Reserve in 2024.

But gold still remained well below record highs hit in April, and is expected to trade rangebound ahead of this week’s inflation data. 

fell 0.1% to $2,357.35 an ounce, while expiring in June fell 0.5% to $2,363.65 an ounce by 23:55 ET (03:55 GMT). 

Gold, metal markets on edge ahead of inflation data 

Gold and broader metal markets were on edge ahead of key U.S. inflation readings due this week.

data for April is due on Tuesday, while the more closely-watched data is due on Wednesday.

Any signs of sticky inflation are likely to further diminish expectations of U.S. interest rate cuts this year, boosting the and pressuring metal prices. 

The greenback steadied after recent volatility. Data on Friday showed U.S. consumer confidence weakened substantially in May, but that inflation projections remained high for the coming year. 

Broader precious metal prices were also under pressure ahead of this week’s inflation readings, given that higher-for-longer rates increase the opportunity cost of investing in metal markets. 

steadied at $1,005.05 an ounce, while sank 0.8% to $28.288 an ounce. 

Copper prices edge higher amid mixed China cues 

Among industrial metals, copper prices advanced on Monday, remaining close to two-year highs amid some optimism over tighter markets. But further gains were stalled by mixed cues from top importer China.

on the London Metal Exchange rose 0.3% to $10,080.50 a ton, while rose 0.2%  to $4.6630 a pound.

Chinese inflation data, released over the weekend, showed a pick-up in inflation. But inflation, which is a key indicator of local factory and business activity, shrank for a 19th consecutive month. 

But the mixed inflation readings were offset by Beijing loosening more restrictions on the beleaguered property sector, which could potentially support copper demand in the coming months.

The content of this article does not represent the views of fxgecko website. The content is for reference only and does not constitute investment suggestions. Investment is risky, so you should be careful in your choice! If it involves content, copyright and other issues, please contact us and we will make adjustments at the first time!

Related News

您正在访问的是FxGecko网站。 FxGecko互联网及其移动端产品是中国香港特别行政区成立的Hitorank Co.,LIMITED旗下运营和管理的一款面向全球发行的企业资讯査询工具。

您的IP为 中国大陆地区,抱歉的通知您,不能为您提供查询服务,还请谅解。请遵守当地地法律。