FX.co ★ Gold Inches Higher As Dollar And Yields Fall

Gold prices rose on Wednesday, as the dollar rally fizzled out and Treasury yields dropped after the release of weak producer prices figures for October.

Spot gold edged up 0.3 percent to $1,784.17 per ounce, while U.S. gold futures traded 0.6 percent higher at $1,787.50.

The U.S. dollar traded just above multi-month lows against most majors after U.S. President Joe Biden said it was "unlikely" that the blast in Poland may have been caused by a missile fired from Russian territory.

Separate reports suggested that Ukrainian air defense may have fired the missile that killed 2 in Poland.

Gold is also benefiting from optimism the U.S. has witnessed peak inflation and that the Federal Reserve would slow the pace of interest-rate increases.

Data showed on Tuesday the U.S. producer price index rose 0.2 percent in October, below the 0.4 percent estimate. On an annual basis, prices rose 8 percent compared to an 8.4 percent increase in September.

Trading later in the day may be impacted by reaction to a speech from ECB's Lagarde and the release of U.S. reports on retail sales and industrial production.