KONTAN.CO.ID - SINGAPORE. Gold prices crept higher on Wednesday but were stuck in a narrow range as investors looked to U.S. economic data for further clarity on the Federal Reserve's interest rate path. Spot gold rose 0.2% to $2,325.23 per ounce by 0634 GMT, after having hit its lowest since April 5 in the previous session. U.S. gold futures fell 0.2% at $2,338.00. "A false break of $2,300 on Tuesday likely means that gold prices will remain rangebound heading into U.S. inflation data and the BOJ meeting... I expect gold to tread water between $2,300 and $2,350 unless a fresh catalyst arrives," City Index senior analyst Matt Simpson said.
This week, investor focus will be on the U.S. gross domestic product (GDP) data due on Thursday and the Personal Consumption Expenditures (PCE) report due on Friday. Resilient U.S. economic data suggests any surprises are likely to be on the upside, potentially lifting the dollar and U.S. yields further, Simpson added. Read Also: Asian Shares Jump on Tech Boost; Fragile Yen on Intervention Watch A stronger greenback and elevated bond yields make the dollar-priced bullion less attractive for other currency holders and as an investment option compared with debt. Bullion prices hit an all-time high of $2,431.29 on April 12, rising nearly $400 from the start of March.
