Gold prices hold to a 2-week high ahead of US inflation data

Gold prices have not changed slightly near the previous session's highs in two weeks on Wednesday as market players watched US inflation data as well as minutes from the Fed's last meeting.

Spot gold fell 1.18 dollars, or 0.1 percent, to $ 1302.91 an ounce by 7:15 am Eastern Time (11:15 GMT) after rising to $ 1306.24 on Tuesday, its highest level since March 28.

Gold futures in COMEX fell $ 1.45, or 0.1%, to $ 1,306.85 an ounce.

The Department of Commerce will publish inflation figures for March at 8:30 am Eastern Time (1230 GMT).

Consumer prices are expected to rise by 0.3% last month, according to estimates. Excluding the cost of food and fuel, core inflation is expected to rise by 0.2% last month.

The Fed will then release minutes of the latest policy meeting later in the session. The US central bank has vowed to raise interest rates again this year at the end of its March 20 meeting and has indicated that it plans to end its $ 4.2 trillion gross budget reduction by September.

The Dollar Index, which measures the strength of the US currency against a basket of six major currencies, was at 96.56, not far from a two-week low of 96.46.

At the same time, US Treasuries rose, pushing yields down slightly across the curve, with the 10-year benchmark yield falling to 2.49%.

Traders will also be monitoring headlines from Europe as the ECB holds its policy meeting, while British Prime Minister Theresa May seeks to delay Britain's exit from the EU at an emergency summit in Brussels.

NEW YORK (Reuters) - Gold prices rose on Tuesday after the International Monetary Fund cut its global growth outlook and President Donald Trump threatened to impose a $ 11 billion customs duty on European goods.

The precious metal is used as a safe investment in times of political and financial uncertainty.

Elsewhere, silver futures were steady at $ 15.21 an ounce.

In other metals trading, futures for palladium prices fell 0.3% to $ 1,359.30 an ounce, while platinum fell 0.45% to $ 895.30 an ounce. The metal hit its highest level since May 2018 at 914.74 dollars on Monday.


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