Gold saw a rise in Asia Monday morning as investors mulled over the US Federal Reserve’s unclear directions on monetary policy tightening following the release of tame inflation data.
Gold futures crept up 0.18% to $1781.05 around 12:45 AM ET (4:45 AM GMT), after dropping to its lowest level since June 21st earlier in the Asian session.
Investors continue to weigh in on the inflation data released by the US the week before. The core personal consumption expenditures increased 0.5% month-on-month in May, slightly smaller than expected, while also growing 3.4% year-on-year. Gold prices also went up by as much as 0.8% after the release of the data, the preferred inflation measure of the central bank.
Investors are also keeping a close watch on negotiations for US President Joe Biden’s bipartisan US infrastructure deal, estimated to be at $1.2 trillion over eight years.
In other related news, silver held steady at $26.07 per ounce, while palladium edged up by 0.1% and platinum slid 0.7%.