WASHINGTON (dpa-AFX) - Gold traded in a tight range on Thursday, as investors await a key report on U.S. inflation for more indications about the pace of tightening of monetary policy by the Federal Reserve.
Spot gold was virtually unchanged at $1,833.18 per ounce, while U.S. gold futures were down 0.2 percent at $1,833.85.
European government bond yields edged higher and the dollar index dipped slightly amid reports that more European Central Bank policymakers were losing confidence in the central bank's current forecasting and emboldened a shift towards interest rate hikes later in 2022.
As inflation worries mount, market participants await U.S. consumer price data for January due later in the day for further direction.
The CPI is expected to rise by 7.3 percent on an annual basis in January, marking the highest reading seen since 1982.
A strong reading could put pressure on the Fed to raise rates more aggressively and at a faster pace than projected.
Speaking on CNBC's 'Squawk Box,' Atlanta Federal Reserve President Raphael Bostic said that he expects inflation to ease soon and that a three or four rate hike hikes may be appropriate for this year.
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