Gold prices inched higher on Wednesday to hover near a one-week high hit in the previous session as the dollar weakened, U.S. yields held steady and hopes of more U.S. fiscal stimulus boosted the metal’s appeal.

Spot gold rose 0.2 percent to $1,842.24 per ounce, after having hit the highest since Feb. 2 at $1,848.40 on Tuesday. U.S. gold futures were up 0.3 percent at $1,842.95.

The dollar slipped to a near two-week low against rivals ahead of a report on U.S. consumer prices due later in the day, with economists expecting a 0.2 percent rise in core CPI on month.

Meanwhile, Federal Reserve Chairman Jerome Powell is scheduled to speak at a webinar hosted by the Economic Club of New York at 2:00 pm ET.

Market participants expect Powell to reaffirm accommodative monetary policy stance to boost the economy.

On the stimulus front, U.S. President Joe Biden’s $1.9 trillion coronavirus relief bill is expected to pass through Congress despite opposition from Republicans over the aid’s price tag.

The material has been provided by InstaForex Company – www.instaforex.com

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