UNITED ARAB EMIRATES / RankWire.AI / – On Thursday, gold prices moved slightly higher, bolstered by a softer U.S. dollar ahead of new U.S. inflation figures. Spot gold increased by 0.3% to reach $4,414.28 per ounce by 0419 GMT. Meanwhile, U.S. gold futures for December slipped 0.1% to settle at $4,457.20. The early gains kept spot gold above the $4,400 mark, reversing a sharp decline seen during Wednesday’s trading session. Initially, gold prices fell but then closed the day more than 1% higher.
The U.S. dollar stayed weak in early trading, helping dollar-denominated precious metals. A softer dollar makes gold cheaper for buyers using other currencies. At the same time, the benchmark U.S. 10-year Treasury yield held near 4.84%, remaining high. Since gold does not pay interest, bond yields influence its market. Brent crude oil also maintained levels above $100 a barrel after crossing that threshold during the previous session.
Market attention is also on two key U.S. inflation reports. Producer price index data will be released at 1230 GMT on Thursday, followed by consumer inflation figures on Friday. The Federal Reserve’s meetings are scheduled for September 15 and 16, with inflation a primary factor in interest-rate decisions. CME Group’s FedWatch Tool indicated about a 60% chance of a U.S. rate hike this month. Currently, the federal funds target range is 3.50% to 3.75%.
Focus on Inflation Data as Gold Maintains Above $4,400
Wednesday’s trading showed a notable shift from early price moves. Spot gold dipped 0.1% to $4,349.44 an ounce at 0040 GMT. By 1744 GMT, prices had rebounded 1.4% to $4,414.30. U.S. gold futures for December gained 0.5%, settling at $4,458.80. This marked the end of a three-day decline for gold. Thursday morning, the spot price was close to the levels seen late Wednesday as Asian markets continued trading.
Other precious metals displayed mixed results on Thursday. Silver rose 0.3% to $67.50 an ounce, platinum fell 0.4% to $1,888.05, and palladium increased 0.2% to $1,356.20. These movements followed broader gains on Wednesday, where silver climbed 3.3%, platinum surged 5.1%, and palladium added 1.2%. Precious metals remain sensitive to currency fluctuations, bond yields, and interest-rate expectations.
Mixed Trading for Metals as Oil and Yields Stay Elevated
Gold also traded against a backdrop of rising oil prices and ongoing conflict in the Persian Gulf. Brent crude stayed above $100 a barrel on Thursday. Iran announced Wednesday that it had attacked 10 ships near the Strait of Hormuz after the U.S. sank five Iranian oil tankers. These incidents marked further escalation in regional shipping disruptions. Oil prices and global bond yields remained high as markets watched inflation trends across major economies.
Thursday’s spot gold was roughly 1.5% higher than Wednesday’s early reading of $4,349.44. December futures stayed above the $4,393.30 level recorded earlier in the week. The Federal Reserve’s current rate range and the latest inflation data are critical for global precious metals trading. Gold prices remained above $4,400, with silver holding above $67 an ounce. Most of Wednesday’s rebound persisted as investors awaited U.S. producer and consumer inflation reports scheduled for release.