© Archyde.com. Gold bars at a bullion factory in Switzerland on July 13, 2022. Photo: Dennis Balibus – Archyde.com.
(Archyde.com) – It rose for a third consecutive session on Thursday, as lower-than-expected US inflation data boosted bets that the Federal Reserve may raise interest rates again next month and then halt the increases.
And by 0332 GMT, it rose 0.1 percent to $ 2016.99 an ounce. US gold futures rose 0.3 percent to $2,030.70.
Gold prices rose more than 1% on Wednesday after data showed that the consumer price index in the United States rose 0.1% last month, compared to expectations for a 0.2% increase, after rising 0.4% in February.
“Expectations that the Fed’s hike cycle may be nearing an end is well established by recent US consumer price index data, while supporting lower yields and weak gold prices,” said Yip John Rong, market analyst at IG.
Gold is a hedge against inflation, but high interest rates reduce the attractiveness of the yellow metal, which does not yield a return.
Yep added that recession fears “allow gold prices to build on their safe-haven status.”
As for other precious metals, it increased in spot transactions by 0.1 percent to $ 25.50 an ounce, and platinum settled at $ 1015.06, and rose 0.3 percent to $ 1464.16.
(Prepared by Doaa Muhammad for the Arabic Bulletin)