Gold Gains as Traders Take Stock Before Key US Inflation Report

Gold edged higher as investors awaited a US inflation report that will shed light on the path for interest rates, while also assessing continued threats to the Federal Reserve’s independence.

Friday’s US personal consumption report — the Fed’s preferred inflation gauge — is expected to accelerate at the fastest annual pace in five months, which could limit the central bank’s ability to ease policy. Just 24 hours ahead of the release, data showed the US economy expanded faster than initially estimated.