Gold near its lowest level in a month

Gold prices hovered near a one-month low on Thursday, as investors awaited US inflation data that could determine the path the Federal Reserve will take on interest rates going forward.

Gold increased 0.2 percent in spot transactions to $ 1,918 an ounce by 0337 GMT, but it is hovering near its lowest level since the tenth of July, which it recorded on Wednesday, while US gold futures settled at $ 1,950.80.

US consumer price index data, due at 1230 GMT, is expected to show a slight acceleration in inflation in July.

Gold is often seen as a hedge against inflation, but higher interest rates increase the opportunity cost of holding non-yielding bullion.

As for other precious metals, silver did not witness a significant change in spot transactions and settled at $ 22.67 an ounce, and platinum increased 0.3 percent to $ 890.87, while palladium rose 0.3 percent to $ 1238.63.