Gold prices close in green after US inflation data

Gold prices closed in the green today, Feb. 16, following the release of US economic data for January.

The rise in prices of the yellow metal came in parallel with the decreased yield on the two-year US Treasury bonds to 4.61%. This was coupled with the decline in the US dollar index.

Today's data showed that the number of US initial jobless claims tumbled last week, reinforcing the continued strength of the labor market in the world's largest economy.

Separate data also revealed that the US Producer Price Index (PPI) advanced month-on-month (MoM) by 0.7% in January, exceeding expectations of 0.4%.

In terms of trading, gold for April delivery inched up 0.4%, or $6.50, to $1,851.80 an ounce at settlement today.

On the other hand, the US dollar index, which gauges the greenback's strength against a basket of six currencies, saw a marginal drop of 0.07% to 103.850 points at 9:51 pm Makkah time.