This So On Gold Past Strong US Data!

<p>&nbsp;The precious metal gold traded flat on Friday despite being buoyed by stronger US economic data.</p><p><br /></p><p>Gold initially eased closer to the $1,900 price level before rebounding to trade around $1,915 an ounce during the Asian session today.</p><p><br /></p><p>US inflation proved warm again in August after producer price index (PPI) data rose to 0.7% year-on-year against expectations for a 0.4% increase.</p><p><br /></p><p>Meanwhile, US retail sales were stronger, rising 0.6% last month, well above expectations for an increase of just 0.1%.</p><p><br /></p><p><br /></p><p>As a result, the market began to place the possibility that the Federal Reserve (Fed) will continue to raise interest rates to curb inflation.</p><p><br /></p><p>Although markets expect the Fed to keep rates unchanged at next week's policy meeting, there is a 39% probability of a hike in November, according to FedWatch CME Tools.</p><p><br /></p><p>The expectation will continue to put pressure on gold trading to remain traded weakly.</p>