Gold Finishes Higher Following U.S. Inflation Surge

Gold prices rose slightly on Thursday, with the U.S. Dollar (USD) fluctuating and investors reacting to the large surge in inflation in the U.S., as shown by the most reading of the consumer price index (CPI) that rose by 5% in May.

The reading marked the biggest increase in U.S. inflation since 2008.

Meanwhile, gold futures for August delivery rose by about 90 cents to close at $1,896.40 per ounce.

Earlier in the session, the yellow metal’s most active contracts traded on a lower note, after a huge surge in the USD, following the release of the CPI data by the U.S. Bureau of Labor Statistics.