Gold rose on Wednesday to its highest level in nearly two weeks, supported by weaker US economic data and growing expectations that the Federal Reserve will cut interest rates in December. Spot gold climbed 0.7 per cent to $4,156.89 per ounce at 0615 GMT, while US gold futures added 0.4 per cent to $4,154.10. The softer dollar and a pullback in Treasury yields followed data showing slower-than-expected US retail sales and a modest 2.7 per cent year-on-year rise in the Producer Price Index for September. Recent dovish signals from Fed officials and speculation that leading Fed chair candidate Kevin Hassett may favour a softer policy stance further fuelled bets on easing. Markets now price in an 85 per cent chance of a December rate cut. Analysts said weaker yields were supporting bullion, with KCM Trade's Tim Waterer noting that benign economic indicators are strengthening the case for near-term easing. Investors are awaiting the US weekly jobless claims later on Wednesday. China's net gold imports via Hong Kong dropped about 64 per cent in October. Spot silver rose 0.9 per cent to $51.85 per ounce, platinum slipped 0.1 per cent to $1,552.50, and palladium was steady at $1,396.80. Attribution: Reuters
