Gold Gives Up Some Gains after US PPI Data
Gold prices traded above $1,790 an ounce but retreated from session highs on Friday, as the dollar bounced back after fresh PPI data showed producer prices in the US rose more than expected.
The next big catalyst for the bullion will be the US CPI report on Tuesday while the Fed, the ECB and the BoE will also decide on monetary policy during next week.
The three major central banks are expected to deliver smaller rate hikes but attention will turn to terminal rates and any signs on whether policymakers are getting ready to pause or continue tightening.
Gold is highly sensitive to the rates outlook as higher interest rates raise the opportunity cost of holding non-yielding bullion and dent its appeal, and vice versa.