2023.12.2608:37:00UTC+00Gold Inches Higher Amid Rate Cut Expectations

Gold ticked higher on Tuesday as signs of softening U.S. price pressures bolstered bets for multiple rate cuts from the Federal Reserve in the coming year.

Spot gold rose 0.4 percent to $2,062.11 per ounce, while U.S. gold futures were up 0.2 percent at $2,073.05.

A Commerce Department report showed last week that the annual rate of U.S. consumer price growth decelerated to 2.6 percent in November from a downwardly revised 2.9 percent in October.

Economists had expected the pace of price growth to slow to 2.8 percent from the 3.0 percent originally reported for the previous month.

The annual rate of growth by core consumer prices, which exclude food and energy prices, also slowed to 3.2 percent in November from a downwardly revised 3.4 percent in October.

The readings on inflation, which are said to be preferred by the Federal Reserve, were included in the Commerce Department's report on personal income and spending.

Most European markets and some markets in Asia remain closed today for a long Christmas holiday weekend.

In economic releases, the U.S. house price index for October, U.S. Dallas Fed manufacturing business index for December and U.S. Chicago Fed National Activity data for November are slated for release in the New York session.