Gold’s Gentle Glide Amid the Inflation Anticipation Wave
Gold’s price ticked around yesterday’s trading session, keeping a steady pace as investors scan the horizon for sharp movements in the upcoming U.S. inflation releases.
Today’s Big‑Name Focus
- US Producer Price Index (PPI) for April – The market is waiting to see how this figure stacks against expectations.
- Fed Chair Jerome Powell’s Speech – Follow‑up to the PPI, it could send ripples through rates and, consequently, gold.
Wednesday’s Spotlight: Consumer Price Index (CPI)
The CPI is next on the docket, and it could be a game‑changer. A surprise rise might signal the Fed to pause on that initial rate cut, which could spy a dip in gold.
Why September Could Be the Real Deal
- Investors are eyeing a rate cut in September, contingent on how the inflation data plays out.
- Higher than forecast inflation reduces the cut’s likelihood, tightening pressure on gold’s price.
Asian Markets Keeping the Gold Flow
Even though the U.S. data is setting a cautious tone, demand from Asia, especially China, is keeping the current gold levels buoyant. They love their glitter, and their buying power offers a comforting buffer.
In short, gold is in a mild, patient swim as the U.S. market waits for the inflation verdict, while Asian buyers keep the waves calm and steady.
