Gold is close to $2,000 after the US inflation data

Gold is close to $2,000 after the US inflation data

Gold prices fall this Wednesday, after rising in the two previous sessions. As expected, no significant impact on the bullion was expected.


The prices of gold They go down this Wednesday, after going up in the two previous sessions after the US inflation data marked a reduction in April. Thus, spot gold fell 0.3% to $2,035.25 an ounce.

“Today’s losses in gold prices are mainly due to the dollar covering that started in the European session,” said Ricardo Evangelista, a senior analyst at ActivTrades, adding that if inflation is at forecast levels, it will not a significant impact on the bullion is expected, as it did.

Although gold is seen as a hedge against inflation, rising rates make the metal, which does not earn interest, less attractive.

The US inflation fell below 5% per year for the first time in two years. Prices moderated sharply, which will allow the Fed to definitively confirm the end of the rate hike. However, prices continue to show some strength in monthly terms, forcing the central bank to remain vigilant.

In this way, inflation in year-on-year terms rose to 4.9%, one tenth less than in March, which continues to confirm the slowdown in the rise in prices. The CPI in monthly terms rises 0.4%, compared to 0.1% in March.

Source: Ambito

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