WASHINGTON (dpa-AFX) - Gold prices traded higher on Thursday while the dollar wobbled as traders eye September for the Federal Reserve's first rate cut.
Spot gold rose half a percent to $2,383.76 per ounce while U.S. gold futures were up 0.4 percent at $2,389.05.
The dollar was slightly lower after Federal Reserve Chair Jerome Powell's comments gave scant clues on rate cuts.
Our undertaking is to make decisions when and as they need to be made, based on the data, the incoming data, the evolving outlook and the balance of risks, and not in consideration of other factors, and that would include political factors,' Powell said in a hearing before the House Financial Services Committee.
There are expectations that a U.S. government report due later in the day will show inflation continued to moderate in June.
Economists expect the annual rate of consumer price growth to slow to 3.1 percent in June from 3.3 percent in May, while the annual rate of core consumer price growth is expected to hold at 3.4 percent.
In Europe, soft inflation data from Germany left the door open for another European Central Bank rate cut in September.
The consumer price index rose 2.2 percent in June, following May's 3-month high of 2.4 percent, data revealed. That was in line with the flash data published earlier.
Elsewhere, official data showed the U.K. economy rebounded at a faster-than-expected pace in May, adding to doubts about the possibility of an August rate cut by the Bank of England.
Real GDP grew 0.4 percent in May after showing no growth in April, the Office for National Statistics reported. The actual growth was double the expected 0.2 percent expansion.
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