Gold edged up on ?Friday as a softer dollar ?lent support, while ?market participants focused on the U.S. Federal Reserve’s future policy trajectory.
Spot gold rose 0.3% to $4,184.34 U.S. per ounce but was down 0.2% so far in ?the ?week.
US gold futures for December delivery rose ?0.9% to $4,205.70 per ounce.
The US dollar headed for its first weekly fall in five weeks, making greenback-priced bullion more affordable for holders of other currencies.
Federal Reserve Chair Kevin Warsh voiced ?optimism about U.S. economic strength but gave no preview about whether he feels more interest-rate hikes will be needed, or when.
Traders largely expect the U.S. central bank to hold rates steady this ?month, while pricing in a 91% chance of ?a rate hike in December.
Data on Thursday showed U.S. producer prices increased by the most in four-and-a-half years last month, the ?latest indication of inflation broadening out beyond energy products. The data followed Wednesday’s consumer ?price report, which showed prices accelerated in September.
Although gold is ?typically seen as an inflation hedge, higher interest rates tend to reduce the appeal of non-yielding metal.
Related Stories
