Gold is locked in a narrow range as traders await economic data

Gold prices fell on Wednesday in a narrow range in light of the rise of the dollar, but the precious metal did not move far from the highest level in a week, which it recorded in the previous session, amid anticipation of economic data to be published during the current week.

Spot gold fell 0.2 percent to $1,813.23 an ounce by 0957 GMT, after rising more than 1 percent on Tuesday on the back of the dollar’s decline.

US gold futures fell 0.2 percent to $1,822.70.

The dollar index rose on Wednesday after falling in the previous session.

Investors are awaiting US GDP data due on Thursday as well as the core PCE price index due on Friday.

Gold prices have risen by about $200 since falling to their lowest level in more than two years in late September, as expectations about the Federal Reserve slowing interest rate hikes affected the dollar’s attractiveness.

Although gold is usually a hedge against inflation, it tends to lose its luster when interest rates rise.

As for other precious metals, spot silver fell 1.3 percent to $23.84 an ounce, platinum also fell 1.3 percent to $994.90, while palladium fell 1.9 percent to $1,699.92.