Gold prices inched higher on Tuesday ahead of key U.S. inflation data, which could offer clearer signals on the Federal Reserve’s interest rate path, according to a report by Reuters.
Spot gold rose by 0.1% to $3,346.94 per ounce as of 0151 GMT, while U.S. gold futures remained flat at $3,355.60.
“Gold has shown in the past that it is an asset of choice when tariff tensions are ratcheted up, and the precious metal’s move towards $3,350 is evidence of this pattern playing out again,” said Tim Waterer, Chief Market Analyst at KCM Trade, as quoted by Reuters. He noted, however, that higher Treasury yields and U.S. dollar strength are currently acting as headwinds.
Traders are now focused on U.S. consumer price data for June, due at 1230 GMT. Reuters’ poll of economists expects headline inflation to rise to 2.7% year-on-year, with core inflation hitting 3.0%.
Meanwhile, President Donald Trump threatened new tariffs of 30% on imports from Mexico and the EU starting 1 August, and renewed pressure on Fed Chair Jerome Powell to slash interest rates.
Elsewhere, Reuters reported silver up 0.3% to $38.24, platinum up 0.3% to $1,368.30, and palladium up 0.1% to $1,194.52.
