Gold bounces back as investors brace for fresh US inflation signals

Gold climbed back above $4,200 an ounce in Asian trade on Wednesday, recovering from the previous session?s weakness, although the metal remains down more than 5% for September. A stronger US dollar, hovering around 101 and heading for a roughly 2% monthly gain, along with growing expectations of further Federal Reserve rate hikes, continued to cap the upside. Elevated oil prices are adding to concerns over energy-driven inflation, keeping attention firmly on the Fed?s policy outlook. Investors now await the PCE inflation report and Friday?s US jobs data for fresh signals on the path of interest rates. In the domestic market, MCX December gold futures followed the global recovery, rising 1% to Rs 1,50,421 per 10 grams.

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