2020.08.2610:25:00UTC+00Gold Prices Mixed As Traders Await Powell's Speech

Gold prices traded mixed on Wednesday and the dollar rose slightly as traders looked ahead to Thursday's Jackson Hole meeting, during which Fed Chair Jerome Powell is expected to give details on the Federal Reserve's framework review.

Markets expect Powell to talk about 'average inflation' targeting rather than the long-standing 2 percent target.

Spot gold slid half a percent to $1,919.28 per ounce, while U.S. gold futures were up 0.1 percent at $1,924.85.

Amid easing U.S.-China trade tensions and hopes of a coronavirus treatment, investors' appetite for safe-haven gold has eased slightly.

The mid- to- long-term prospect for gold, however, remains bullish amid growing concerns about the economic outlook and signs that stimulus measures will continue.

A survey from the Conference Board showed overnight that U.S. consumer confidence unexpectedly fell in August to hit a six-year low.

Germany's coalition parties last night agreed to extend economic measures at a cost of up to 10 billion euros, including prolonging a short-time work program for an extra year to cushion the effects of the coronavirus crisis.

The French government will present its 100 billion euro stimulus plan on September 3, Prime Minister Jean Castex told France Inter radio today and added the new package marks "continuity" with emergency measures already in place.