While investors absorbed a rise in consumer confidence and awaited US inflation data that would provide further insight into the Federal Reserve’s rate hike trajectory, gold declined as the dollar strengthened.
As inflation decreased and gas prices decreased, US consumer confidence increased more than expected to its highest level since April. According to information released on Wednesday, the Conference Board’s index increased this month from an upwardly revised 101.4 rating in November to 108.3.
A raft of US economic statistics, including the Fed’s preferred inflation indicator, that are expected on Thursday and Friday will be closely watched by traders. Bullion has fallen more than 11% from its peak in March as a result of this year’s vigorous monetary tightening by central banks, which has increased Treasury yields and the value of the dollar.
As of 4:23 p.m. in New York, spot gold decreased 0.2% to $1,814.07 per ounce. The price of gold for February delivery on the Comex was barely hanging at $1,825.40. Gaining 0.1%, the Bloomberg Dollar Spot Index. Palladium, platinum, and silver all fell.