WASHINGTON (dpa-AFX) - Gold edged higher on Monday as escalating geopolitical tensions in the Middle East along with a weaker dollar offset lingering uncertainty surrounding rate cuts.
Spot gold rose half a percent to $2,345.07 per ounce while U.S. gold futures were up half a percent at $2,345.95.
Geopolitical tensions were in focus after at least 35 Palestinians were killed and dozens more were injured as a result of Israeli air attacks on a camp in Rafah for displaced people on Sunday.
The dollar was moving in a narrow range ahead of speeches from the Fed's Bowman, Mester and Kashkari due on Tuesday and the first reading of U.S. GDP for the first quarter due on Thursday.
Traders also await U.S., European, Japanese and Australian inflation readings this week for clarity on the global interest rate outlook.
Euro zone May consumer prices data for May could provide additional clues on whether the European Central Bank will cut interest rates next week.
Philip Lane, the chief economist of the European Central Bank (ECB), told the Financial Times that the ECB is ready to start cutting rates, but policy will continue to be restrictive this year.
The release of the Fed's preferred inflation gauge on Friday could help traders access the timing and pace of Fed rate cuts this year.
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