Gold prices gained on Monday, backed by a drop in the dollar, as investors awaited U.S. inflation data that might define the Federal Reserve’s interest-rate decisions.
Spot gold rose 0.3% to $1,922.89 per ounce by 03:13 GMT after falling 1% the previous week. Gold futures in the United States climbed 0.2% to $1,946.30.
The US dollar and benchmark 10-year bond rates both fell 0.3%, making non-yielding bullion more appealing to foreign purchasers.
The United States’ August Consumer Price Index (CPI) data, which is coming on Wednesday, is likely to affect the Federal Reserve’s interest rate decisions this year.
Fed policymakers have been quite clear about two things ahead of their policy-setting meeting this month: they are not eager to raise interest rates, but they are also not ready to declare triumph.
