Fed Chair Powell Not Expected to Shock Gold Traders, but Wednesday’s Consumer Inflation Report Could

Fed Chair Powell Not Expected to Shock Gold Traders, but Wednesday’s Consumer Inflation Report Could

Gold futures prices are up for a third session on Tuesday, helped by a dip in Treasury yields and a slightly weaker U.S. Dollar. Short-covering ahead of Federal Reserve Chair Jerome Powell’s nomination hearing later today and position-squaring in anticipation of Wednesday’s U.S. consumer inflation report also underpinned prices.

At 13:02 GMT, February Comex gold is trading $1807.00, up $8.20 or +0.46%. On Monday, the SPDR Gold Shares ETF (GLD) settled at $168.22, up $0.47 or +0.28%.

Federal Reserve Chair Jerome Powell pledged “to prevent higher inflation from becoming entrenched” in comments prepared for delivery at a congressional hearing on Tuesday where the high pace of price increases is likely to be a central topic, Reuters reported.