Gold Prices Stall Amid Thin Trading As Investors Await U.S. Inflation Insights

Gold prices remained stable in light trading as investors anticipate key U.S. inflation data impacting the Federal Reserve's policy. Spot gold held at $4,980.60 per ounce, while U.S. gold futures decreased slightly. The focus shifts to upcoming U.S. jobless claims and the Personal Consumption Expenditures report.

In a quiet market session on Thursday, gold prices lingered unchanged after a substantial 2% rise the previous day, as investors await pivotal U.S. inflation data that could shape the Federal Reserve’s monetary policy trajectory. Spot gold maintained its position at $4,980.60 per ounce as of 0454 GMT.

U.S. gold futures for April edged down 0.2% to $4,999.70, reflecting a consolidation phase rather than fundamental shifts, according to Christopher Wong, OCBC strategist. The Asian holiday period contributed to thin liquidity, with Mainland Chinese, along with Hong Kong, Singapore, Taiwan, and South Korea, observing closures.

The U.S. dollar remained steady at a high not seen for over a week, rendering dollar-priced metals costlier for international buyers. The Federal Reserve's minutes from January revealed consensus to hold interest rates steady, with debate about future adjustments amid persistent inflation.