Gold edges higher but falls more than 2% for week as CPI looms

  • Gold prices rose 0.2% but remained headed for a third consecutive weekly decline.
  • Spot gold stood at $4,324.79 an ounce and was down more than 2% weekly.
  • Houthis seized Mocha and advanced along Yemen's Red Sea coast toward strategic islands.

Gold rose 0.2% to $4,324.79 an ounce by 0020 GMT on Friday but remained down more than 2% for the week, with U.S. rate-hike expectations weighing on the non-yielding metal. U.S. gold futures for December delivery fell 1% to $4,364.70. Traders awaited the U.S. consumer price index, due at 1230 GMT, after August producer prices rose 0.4% for final demand following an upwardly revised 0.1% gain in July. A stronger inflation reading could increase expectations for several Federal Reserve rate increases, potentially lifting Treasury yields and the dollar, Exness financial markets strategists lead Wael Makarem said. Middle East tensions, including an advance by Iran-aligned Houthis along Yemen's Red Sea coast, also remained in focus. Silver, platinum and palladium were headed for weekly losses, while oil benchmarks were on track to finish above $100 a barrel for the first time since mid-May.

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