Gold claws back on softer dollar; US inflation data on radar

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Gold claws back on softer dollar; US inflation data on radar
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Gold rose on Monday as the dollar eased, with bullion regaining ground after a sharp retreat in the previous session ahead of inflation data that could shed light on the outlook for U.S. interest rates.

Spot gold rose 0.4% to $2,024.95 per ounce by 10:12 a.m. EDT . U.S. gold futures were up 0.4% to $2,032.40.

Prices are about 3% lower from near record levels reached last week, pressured after data showed U.S.Still, "the gravitational pull for gold is higher ... as we approach an upcoming recession, the market pricing for Fed cuts on the horizon is set to grow and in turn, that should support discretionary traders to deploy their capital in gold," Ghali added.

Later on Monday, the Fed's loan officer survey might show whether and how hard banks are tightening up on credit after three U.S. lenders failed over recent weeks.

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