Gold Dips as Market Awaits Federal Reserve Clues from Inflation Data

Gold prices fell on Wednesday as U.S. Treasury yields increased and investors awaited a key inflation report expected to influence the Federal Reserve’s policy decisions. Spot gold dropped 0.82% to $2,341.53 per ounce, while U.S. gold futures fell 0.6% to $2,342.30. Rising Treasury yields and a stronger dollar have made gold less appealing. The market’s reduced expectations for Fed rate cuts have also impacted gold prices. The upcoming U.S. core personal consumption expenditures (PCE) data could further affect gold if it signals prolonged higher interest rates.