Article by: ETO Markets

Gold prices edged up on Friday as the US dollar softened and US yields fell. Traders are increasingly betting that the Federal Reserve will cut interest rates this year, especially after the latest weak US GDP data. Additionally, ongoing geopolitical risks and conflicts in the Middle East are boosting gold’s appeal as a traditional safe-haven asset.

Later today, gold traders will focus on the US April Core Personal Consumption Expenditures Price Index (Core PCE), the Fed’s preferred inflation measure. Forecasts suggest a 0.3% month-over-month and a 2.8% year-over-year increase. Higher-than-expected inflation data could support the US dollar and limit gold’s upward movement.

Stay updated with these key factors as they play a crucial role in influencing gold prices.