Gold prices recovered on Thursday from a six-month low, driven by short-covering, while investors await a key U.S. inflation report that could shed more light on the outlook for interest rates.
اضافة اعلان
By 02:15 GMT, spot gold rose 0.4% to $4,089.12 per ounce, after hitting its lowest level since November 21 at $4,022.09 earlier on Thursday.
However, U.S. gold futures for August delivery fell 0.5% to $4,111.10.
"With prices rushing toward $4,000, it represents a clear support level that could prompt bears to take quick profits or entice cautious bulls," said Matt Simpson, senior analyst at StoneX.
He added, "The dollar index failed to make significant gains following Wednesday's CPI report. So, unless there are nasty surprises in the PPI, gold could see a near-term bounce."
Data showed that the U.S. Consumer Price Index (CPI) rose in May at its fastest pace in three years, driven by soaring energy product prices amid the conflict in the Middle East.
Markets are now waiting for the U.S. Producer Price Index (PPI) data for May, scheduled for release later on Thursday, to gauge the stance of U.S. monetary policy.
While gold is seen as a hedge against inflation, higher interest rates tend to weigh on the non-yielding metal.
According to the CME FedWatch tool, traders now see a more than 70% chance of a U.S. interest rate hike by December.
On the geopolitical front, the U.S. military said on Wednesday that the United States had begun a new round of overnight strikes against multiple targets in Iran, after President Donald Trump vowed to launch fresh attacks if a peace agreement is not reached.
Oil prices rose by more than two dollars on Thursday after Iran announced the closure of the Strait of Hormuz following the U.S. strikes.
As for other precious metals, spot silver rose 0.3% to $63.86 per ounce, platinum gained 0.6% to reach $1,673.75, and palladium increased by 2.2% to $1,239.89.
– Reuters
