Gold Holds Steady As Dollar Dips Ahead Of Central Bank Meetings

Gold traded slightly higher on Friday amid growing fears of a U.S. recession and expectations that the Federal Reserve is prepared to slow down with rate hikes.

Spot gold edged up 0.1 percent to $1,791.56 per ounce, while U.S. gold futures were up 0.1 percent at $1,803.65.

The dollar remained on the back foot and Treasury yields dipped as investors eyed a trio of central bank interest-rate decisions next week.

Traders also await the release of U.S. producer price inflation later in the day for additional clues on the pace of rate hikes.

Economists expect producer prices to inch up by 0.1 percent in November after rising by 0.2 percent in October. The annual rate of growth is expected to slow to 7.4 percent from 8.0 percent.

The University of Michigan is due to release its preliminary report on consumer sentiment in the month of December. The report includes readings on inflation expectations that could impact the outlook for interest rates.

Official data released earlier today showed that consumer prices in China were up 1.6 percent year-on-year in November, down from 2.1 percent in October.

Producer prices dropped an annual 1.3 percent versus expectations for a decline of 1.4 percent.

The quarterly survey conducted by the Bank of England/ Ipsos showed that the public's expectations in Britain for inflation for the coming year eased to 4.8 percent in November from 4.9 percent in August.

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