Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Gold Treads Water as Investors Await U.S. Inflation Report

CommoditiesJun 09, 2021 09:45PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Gold Treads Water as Investors Await U.S. Inflation Report

(Bloomberg) -- Gold steadied as investors await Thursday’s U.S. inflation report that may provide clues on the Federal Reserve’s monetary policy path.

On Wednesday, the 10-year Treasury yield fell below 1.5% for the first time in a month, helped by a strong auction, while the rate on the U.S. long bond dropped to a level unseen since early March. This suggests that the Fed’s assurances that elevated inflation was probably temporary are gaining acceptance from investors.

Traders are also awaiting the European Central Bank decision Thursday, with policy makers having all the evidence they need to keep in place their ultra-loose monetary stimulus, thanks in part to their opposite numbers at the Fed.

Bullion has been largely treading water this week with investors focusing on inflation and speculating on the possibility that the Fed will start discussions about tapering asset purchases. Thursday’s U.S. Consumer Price Index report will be one of the last major economic indicators before the Fed’s next policy meeting June 15-16.

“The inflation data may be more important, and gold influenced by it more than usual, because of the Fed blackout ahead of the June FOMC meeting,” said James Steel, chief precious metals analyst at HSBC Securities (USA) Inc. “A higher reading may trigger a rise in yields and weigh on gold, especially if it supports the U.S. dollar.”

Spot gold was little changed at $1,888.54 an ounce at 7:58 a.m. in Singapore, after dropping 0.2% on Wednesday. Prices climbed to $1,916.64 last week, the highest intraday level since Jan. 8. Silver and palladium both ticked higher, while platinum steadied. The Bloomberg Dollar Spot Index was flat.

On the coronavirus front, the Group of Seven leaders is set to vow to deliver at least 1 billion extra doses of vaccines over the next year to help cover 80% of the world’s adult population, according to a draft communique seen by Bloomberg News.

©2021 Bloomberg L.P.

Gold Treads Water as Investors Await U.S. Inflation Report
 

Related Articles

'Historic' heat wave takes aim at Pacific Northwest
'Historic' heat wave takes aim at Pacific Northwest By Reuters - Jun 23, 2021

By Dan Whitcomb LOS ANGELES (Reuters) - The U.S. Pacific Northwest could experience a historic heat wave in the coming days that has the potential to shatter long-standing...

Oil Hits New Highs Since 2018 After Blowout US Draws
Oil Hits New Highs Since 2018 After Blowout US Draws By Investing.com - Jun 23, 2021 4

(Updates throughput with settlement prices) By Barani Krishnan and Liz Moyer Investing.com - Oil prices hit new highs since 2018 on Wednesday after government supply-demand data...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Kevin McCarthy
Kevin McCarthy Jun 09, 2021 10:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
high inflation supports the dollar? that's the most ridiculous thing I have ever read or heard. only in today's idiocracy could someone print that in an article and not be unifiedimmediately fired for being incompetent.
Jokers R Us
Jokers R Us Jun 09, 2021 10:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
incompetency is a requirement to be corporate journalist
florencia feitosa
florencia feitosa Jun 09, 2021 10:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
if the Fed does something to stop inflation, the dollar strengthens and gold becomes weak
Anasi Lindfors
Anasi Lindfors Jun 09, 2021 10:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Its Upside down world until fundamentals start to crack
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email