29-Jun-2024 12:38

COMEX Gold futures edged up from two week low after a tepid reading on the US inflation front worked well for the metal. However, overall sentiments remained cautious for Gold in the week gone by. The US dollar pushed higher in the buildup for the US Personal Consumption Expenditures (PCE) release and weighed on Gold. COMEX Gold tested a two week low around $2300 per ounce on Wednesday before witnessing a sharp 1% rally in last session. The metal managed to add to these gains after the PCE edged lower to 2.6% on a yearly basis in May from 2.7% in April. On a monthly basis, the PCE Price Index was unchanged in May. The core PCE Price Index, which excludes volatile food and energy prices also cooled down, rising 2.6% in the same period, down from the 2.8% increase recorded in April. Monthly core PCE Price Index rose 0.1%. COMEX Gold futures jumped towards $2350 per ounce after the data but cooled off and ended the week on a flat note around $2336 per ounce. Gold, it seems, has been tracking recent comments from Federal Reserve (Fed) Governors Michelle Bowman and Lisa Cook as they suggested that the central bank is unlikely to kick start its rate-cutting cycle anytime soon amid a resilient US economy.

Powered by Commodity Insights