By Inki Cho

Gold prices could see some volatility this week after trading within a range during the last few sessions, driven by investors’ caution amid tariff policy changes and ahead of key inflation data. This week’s Consumer Price Index (CPI) and Producer Price Index (PPI) reports could be pivotal in determining the Fed’s next steps. Strong figures could weigh on non-yielding assets like gold. On the other hand, a slowdown in inflation is likely to bolster expectations of rate cuts, providing further support for the precious metal.

Additionally, gold prices could also be influenced by this week’s geopolitical developments. On Tuesday, US officials are expected to meet with Ukrainian counterparts in Saudi Arabia to discuss a ceasefire. If achieved, gold prices could experience selling pressure. Conversely, any setback could weigh on risk appetite and sentiment in the markets and could boost demand for safe-haven assets, potentially supporting gold prices.

Cho Financial Markets Strategist Consultant to Exness