Besides the ongoing trade tensions, gold prices also managed to rise on the back of muted economic data from the US. The inflation report for April saw headline consumer prices rising 0.3% on the month. Annually, headline inflation rose 2.0% while core CPI eased to 2.1% from the month before. Most of the gains in inflation were due to higher energy prices which rose 2.9% in April.
Gold Prices Settle Back into the Range
Friday’s gains in gold prices did little to keep the price supported. After briefly rising above 1285 handle, gold prices slipped back below this level in early trading today. A continued bearish momentum could push gold prices back to trading within 1285 resistance and 1270 support. Unless we see a daily close above 1285.87, the bias remains flat for the moment.
