Gold Holds Near $3,350 as CPI Eases Rate Cut Bets

Gold prices steadied around $3,350 per ounce on Wednesday as softer US inflation data bolstered expectations for a Federal Reserve rate cut in September.

July CPI rose 2.7% year-on-year, below the 2.8% forecast, while core CPI edged up to 3.1% from 2.9%. The figures eased tariff-driven inflation fears, lifting demand for non-yielding bullion.

Investors now await PPI, jobless claims, and retail sales for further policy clues. Meanwhile, confusion persists over gold import tariffs after US Customs unexpectedly classified 1-kilo and 100-ounce bars under a tariff-eligible code last week, despite President Trump’s assurance Monday that no levy would be imposed.

Separately, the US extended its tariff truce with China by 90 days, and markets are watching upcoming US–Russia talks for progress on ending the Ukraine war.