WASHINGTON (dpa-AFX) - Gold futures were rose Thursday amid data showing that U.S. inflation is under control.
June gold climbed $9.30, or 0.7%, to settle at $1,322.30/oz.
Excluding food and energy prices, core consumer prices inched up by 0.1 percent in April after rising by 0.2 percent in the previous month. Core prices had been expected to rise by 0.2 percent.
Michael Pearce, Senior U.S. Economist at Capital Economics, said the smaller than expected increase in core prices suggests that the recent surge in underlying inflation is fading.
'Even so, core inflation on the Fed's preferred PCE measure has still accelerated faster than Fed officials anticipated just a few months ago, which will keep the Fed on track to raise interest rates again in June,' Pearce said.
Compared to the same month a year ago, consumer prices were up 2.5 percent in April, reflecting an acceleration from the 2.4 percent growth in March.
Copyright RTT News/dpa-AFX