WASHINGTON (dpa-AFX) - Gold prices edged higher on Thursday as softer U.S. producer and consumer price inflation prints bolstered forecasts for a Fed rate cut next month.
Spot gold rose 0.4 percent to $2,456.85 per ounce, while U.S. gold futures were up 0.6 percent at $2,4944.10.
The U.S. dollar edged higher today but held close to seven-month lows after the release of benign inflation data.
Data showed consumer prices rose 2.9 percent year-over-year in July, down from 3 percent in June and the lowest reading since March 2021 - adding to bets of an interest rate cut at the Fed's September meeting.
CME Group's FedWatch Tool currently indicates a 64.5 chance the Fed will lower rates by a quarter point and a 35.5 percent chance of a half point rate cut. Overall, traders are currently pricing in 100 basis points of cuts through year-end.
Looking ahead, investors eye reports on U.S. weekly jobless claims, retail sales and industrial production later in the day for more insights about the health of the world's largest economy.
Retail giant Walmart will release its quarterly results before the U.S. opening bell, with investors seeking clarity on consumer spending.
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