Gold Steadies as Traders Mull US Inflation Data

Gold: steadied around $1,850 an ounce on Thursday after rising nearly 1% in the previous session, as investors assessed higher-than-expected US inflation data while remaining cautious about a potentially strong policy response from the Federal Reserve.

The headline CPI in the US held close to a 40-year high at 8.3% in April, while the core CPI also came in higher than expected at 6.2%, stoking worries among investors that elevated prices may persist and fueling concerns about faster interest rate hikes.

Gold has come under pressure recently, sliding to a 3-month low earlier this week as investors bet on more aggressive central bank monetary tightening to rein in rising prices.

However, persistent inflationary pressures, concerns about a global economic slowdown and falling Treasury yields spurred some safe-haven inflows to the metal