Gold gains on weaker oil, dollar; US inflation data in focus

Business Recorder reported that gold climbed on Monday as a softer dollar and cheaper oil lent support to the metal. Spot gold rose 0.3% to $4,206.01 an ounce by 0253 GMT, after touching its highest level since October 2 earlier in the day. December gold futures in the US added 0.3% to $4,230.40.

Analyst Tim Waterer of KCM Trade tied the move to a reported energy-related ceasefire involving Russia and Ukraine, which US President Donald Trump announced on Sunday. Ukraine's leader said he was still waiting for the details, while oil fell on hopes of more Russian supply. Waterer argued that cheaper crude eases near-term worries about inflation and interest rates, a development that benefits bullion when measured against yields. The dollar was also little changed, making gold cheaper for buyers holding other currencies.

Attention now shifts to the US consumer price index release due Wednesday, with producer prices and retail sales data following on Thursday. CME FedWatch figures showed traders pricing a 17% likelihood of tightening in October and 86% odds of a rate rise by December. Among other metals, silver advanced 0.5%, reaching $61.12 an ounce, while platinum and palladium rose 1% and 1.2% to $1,704.70 and $1,161.81.