WASHINGTON (dpa-AFX) - Gold futures settled slightly down on Monday, retreating after trading higher earlier in the U.S. session, with investors assessing the likely move of the Federal Reserve in the wake of recent inflation data, and some hawkish comments from a few central bank officials.
The dollar's recovery from the day's lows weighed as well on the yellow metal. The dollar index, which dropped to 105.43 in the Asian session, climbed to 105.98 around noon, before paring gains and dropping to 105.87.
Gold futures for July ended down $0.10 at $2,327.60 an ounce.
Silver futures for July ended up $0.063 or 0.22% at $29.300 an ounce. Copper futures for August climbed to $4.4125 per pound, gaining $0.0210 or 0.48%.
The PCE (Personal Consumption Expenditures) price index came in unchanged in May after ticking up 0.3 percent in April.
The annual rate of core inflation growth slowed to 2.6 percent, marking its lowest reading since March 2021 and rekindling hopes for an early rate cut by the U.S. Federal Reserve.
Richmond Fed President Thomas Barkin on Friday advocated caution in managing economic policy, saying there were 'lags' in monetary tightening playing out and that 'services and shelter price-setters still have room to push prices higher.'
Investors now await remarks by Fed Chair Jerome Powell, minutes of Fed's June FOMC meeting, jobs data for June, job openings data for May and reports on manufacturing and service sector activity this week for more clarity on the Federal Reserve's stance.
Trading activity remained a bit subdued due to the upcoming holiday for Independence Day.
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