Gold prices rise with anticipation of US inflation data

Gold prices rose today, Monday, with lower dollar, while investors await key US data on inflation due to be released this week, which may affect the position of the Federal Reserve regarding monetary policy.

According to “Reuters”, gold rose in spot transactions by 0.2 percent, at $ 2020.80 an ounce, by 0634 GMT. And US gold futures rose 0.2 percent to $ 2029.30.

The dollar index fell 0.1 percent, making the yellow metal more attractive to buyers abroad

US CPI data is due for release on Wednesday

Tim Waterer, chief market analyst at KCM Trade, said that any indications of declining inflation will weaken the US currency due to expectations that the Federal Reserve (the US central bank) will cut interest rates, which may lead to a rise in gold.

Waterer added that gold would be among the “major beneficiaries” if there are further signs of weakness in the US economy and prices could move to $2,100 sooner rather than later.

The state of economic uncertainty and low interest rates increases the demand for bullion that does not yield a return

As for other precious metals, silver rose in spot transactions by 0.1 percent, to $ 25.67 an ounce.

Platinum also rose 0.5 percent to $ 1,064.03, and palladium rose 1.5 percent, to $ 1,513.11.