logo
Plus   Neg
Share
Email

Gold Rises On Weak US Inflation Data

Gold prices inched higher on Friday as weaker-than-expected U.S. consumer inflation data raised expectations the Federal Reserve might not hike rates in December.

Spot gold was up 0.31 percent at $1,205.76 an ounce while U.S. old futures were up 0.22 percent at $1,210.80 an ounce.

The U.S. dollar sagged after data showed the U.S. consumer price index rose an annual 2.7 percent in August, below the 2.8 percent predicted, and off the 2.8 percent reported in the previous period. Core Inflation also missed the mark.

The retreat in the dollar also coincided with a decision on Thursday by the Turkish central bank to aggressively raise interest rates in a bid to control rocketing inflation and prevent a currency crisis.

Elsewhere, Asian and European stock markets rose today buoyed by easing trade worries after news of a new round of talks between the United States and China in coming days.

Chinese officials have welcomed an invitation from U.S Treasury Secretary Steven Mnuchin for new talks. However, U.S. President Donald Trump tempered market expectations, tweeting the U.S. is "under no pressure to make a deal with China."

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

Market Analysis

Follow RTT