DOHA: Gold prices edged up on Wednesday as investors sought bargains after steep declines in the previous session, while the spotlight shifted to US inflation data, which could shed more light on the Federal Reserve’s path for monetary policy: Spot gold firmed 0.5% at $2,610.99 per ounce, after hitting its lowest since Sept. 20 on Tuesday. US gold futures rose 0.4% at $2,617.20. Spot silver rose 1% at $31, platinum added 0.6% to $953.22 and palladium gained 1% at $953.84.

According to Qatar News Agency, the recent movement in gold prices reflects investor anticipation surrounding the upcoming US inflation report. The data is expected to offer crucial insights into potential shifts in the Federal Reserve’s monetary policy, which could influence the broader financial markets. Investors have been closely monitoring economic indicators, with the aim of predicting any changes in interest rates that might affect the appeal of non-yielding assets like gold.

The increase in gold prices comes after a period of volat
ility, with the precious metal experiencing significant price drops in the previous sessions. The current uptick is seen as a strategic move by investors to capitalize on lower prices before the release of economic data that could impact price trajectories. This cautious optimism among investors also extended to other precious metals, as seen in the rise of spot silver, platinum, and palladium prices.

As the US inflation data release looms, market participants are poised for potential fluctuations in the commodities market. The focus remains on how the Federal Reserve might respond to inflation trends, with implications for interest rates and overall economic stability. Gold, often considered a safe-haven asset, continues to play a crucial role as investors navigate the uncertainties of the current economic landscape.