Gold Edges Higher as U.S. Inflation Data Tempers Rate-Hike Bets -- Market Talk

0745 GMT - Gold ticks higher as investors weigh lower expectations for another Federal Reserve interest-rate increase this month. Traders are pricing in a 39% chance of an October hike after the latest PCE inflation data came in softer than expected, according to the CME's FedWatch tool. "Softer inflation provides some support for gold, but elevated yields and lingering tightening risks remain key headwinds, with Friday's U.S. payrolls report the next major catalyst for the Fed outlook," says MUFG's Soojin Kim. In early European trading, New York gold futures are up 0.2% at $4,186.30 a troy ounce. U.S. Treasury yields fell in Asian trade on Thursday after stretching to fresh 24-year highs earlier. Meanwhile, the U.S. dollar index is up 0.3% at 101.72, making dollar-denominated commodities more expensive for overseas buyers. (giulia.petroni@wsj.com)

(END) Dow Jones Newswires

October 01, 2026 03:45 ET (07:45 GMT)