Gold flat as investors gear up for US inflation report
Add BT as a preferred source
GOLD prices were flat in early Asian trading on Tuesday (Nov 14) as markets await US inflation data that could offer more clarity on the Federal Reserve’s interest rate outlook.
Spot gold held its ground at US$1,948.09 per ounce, as at 0118 GMT. US gold futures edged 0.1 per cent higher to US$1,952.30.
US consumer prices index (CPI) data will be released on Tuesday. Wall Street economists expect the headline US CPI to have slowed to a 0.1 per cent rise in October, from a 0.4 per cent increase in September, according to a Reuters poll.
The core inflation number is expected at 0.3 per cent last month, unchanged from September. Also on the radar, is the US producer price index data due on Wednesday.
US Fed officials, including chair Jerome Powell, last week said they are still not sure interest rates are high enough to finish the battle with inflation.
The market is pricing in an 86 per cent chance that the Fed will leave rates unchanged in December, according to the CME FedWatch tool.
Navigate Asia in
a new global order
Get the insights delivered to your inbox.
The expected path for inflation softened on balance in October amid rising expectations for future petrol price hikes and a largely stable outlook for employment and personal finances, the Fed Bank of New York reported on Monday.
Meanwhile, Comex gold speculators lowered their net long position by 1,107 contracts to 105,236 in the week ended Nov 7, the US Commodity Futures Trading Commission said on Monday.
Spot silver rose 0.4 per cent to US$22.38 per ounce, while platinum gained 0.5 per cent to US$868.49. Palladium climbed about 1 per cent to US$990.81 per ounce. REUTERS
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
