Gold prices held on to overnight gains following declines in bond yields and the U.S. dollar following the publication of data showing U.S. consumption price gains slowed in July.
During the Asian session, the gold spot changed slightly around $ 1,749 per ounce, while gold futures traded at $ 1,750 per ounce.
While gold is supposed to decline due to the slowdown exhibited by US inflation, it is still at a 13-year high and there are early signs that it has reached its price peak.
The 10 -year U.S. treasury yield and the U.S. dollar declined following the data, which has allayed concerns about an earlier reduction in monetary stimulus by the Federal Reserve (Fed).
However, this is likely to provide temporary support for gold as most Fed policymakers continue to make hawkish statements to reduce their bond purchases.
This follows Fed Esther George's statement saying the time has come to withdraw stimulus, and Robert Kaplan saying the central bank should announce a timeline to reduce massive bond purchases next month and start lowering them in October.
