Gold edges higher on weaker dollar, US inflation data in focus

Business Recorder reported that gold edged higher on Thursday, supported by a softer US dollar. Spot gold rose 0.3% to $4,412.84 an ounce as of 0234 GMT, while December gold futures in the US slipped 0.1% to $4,457.10. Investors were waiting for US inflation figures that could influence the Federal Reserve's interest rate path.

Edward Meir of Marex said geopolitical developments in the Persian Gulf currently matter less to bullion than the weaker dollar, even as US rates rise. ANZ's Daniel Hynes tied support for gold to US fiscal strain, while total US debt passed $40 trillion last month for the first time. A majority of economists in a Reuters poll expect the Fed to keep rates unchanged at its September 15 and 16 meeting and through the rest of the year, while the CME FedWatch Tool puts the chance of a US hike this month at 60%.

Other metals were mixed, with spot silver up 0.2% at $67.42 an ounce, platinum down 0.6% at $1,885.02 and palladium 0.2% higher at $1,355.50. Iran said it attacked 10 ships near the Strait of Hormuz after the US sank five Iranian oil tankers. The exchange marks the biggest wave of shipping attacks by both sides since the six-month-old war began.