Gold prices surged to their highest level in over three and a half weeks on Wednesday, supported by a weakened dollar and falling U.S. treasury yields, after data showed that U.S. consumer prices rose less than expected in April, enhancing the likelihood of the Federal Reserve cutting interest rates.
Price Movements:
Spot gold increased by 0.5% to $2369.49 per ounce. U.S. gold futures for June delivery rose by 0.6% to $2374.60 per ounce. The U.S. consumer price index rose by 0.3% last month after advancing 0.4% in March and February, indicating that inflation resumed its downward trend at the start of the second quarter, reinforcing financial market expectations for a rate cut in September.
