Gold awaits US PCE Deflator cue

Alpari

Spot gold has taken further strides towards the $1800 line as markets took to heart the hawkish cues contained within the latest FOMC minutes as well as the drop in US weekly jobless claims.

Spot gold has erased all of its gains garnered at the onset of 2023, now on course for a second straight weekly decline, having posted a fresh year-to-date low this week.

Gold moves closer to $1800 on fears of aggressive Fed rate hikes

The US PCE deflator print due later today might serve as a major catalyst for the precious metal’s final move before the weekend.

Gold bulls should find relief from evidence of moderating US inflation, which in turn could suggest that the Fed need not be as hawkish as markets fear.

A lower-than-expected PCE deflator should then see spot gold create a larger gap above the $1800 mark.

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