Gold Holds Near Peaks as U.S. Consumer Sentiment Slips to 46.3 With Higher Inflation Outlook

Gold prices stayed close to daily highs after weaker U.S. consumer sentiment data emerged, accompanied by rising inflation expectations. The University of Michigan released a preliminary October reading of 46.3, missing the 47.6 forecast and September’s final 48.1. Surveys of Consumers Director Joanne Hsu observed that sentiment barely moved, yet buying conditions for durables worsened amid elevated prices and borrowing costs. She pointed to sharper declines among lower-income households and growing frustration with living expenses, as perceptions of the economy’s path turned more negative. Spot gold traded at $4,188.36 per ounce, up 1.32% on the day. Year-ahead inflation expectations rose to 4.7% from 4.6%, while long-run expectations climbed to 3.5% from 3.4%, hitting their highest levels since May.