Gold Edges Higher As Investors Await Powel’s Speech

Published: 8/23/2023 5:52 AM ETGold prices inched higher on Wednesday, the dollar traded mixed against rivals and bond yields retreated as traders looked ahead to the Jackson Hole symposium at the end of the week.Spot gold rose 0.3 percent to $1,903.62 per barrel, while U.S. gold futures were up 0.3 percent at $1,932.40.The economic symposium in Jackson Hole, Wyoming, later this week will feature meetings by global central bank leaders as well as a speech by Federal Reserve Chair Jerome Powell, with traders hoping for some clarity on the Fed’s plans to keep inflation on a downward path.Gold prices also drew some support from signs of weakening global growth following weak business activity reports from Asia, Europe and the U.K.Data showed Japan’s factory activity shrank in August and Australia’s business activity contracted at the fastest pace in 19 months.

Elsewhere, Eurozone business activity contracted further in August as the region’s downturn spread further from manufacturing to services, according to PMI survey data published earlier today.The S&P Global composite index flash reading fell to 47.0 from 48.6 in July, hitting its lowest since November 2020.The U.K. manufacturing PMI fell from 45.3 to 41.5 in August, hitting a 39-month low, while the services PMI fell from 51.5 to 48.7, touching a 7-month low.