Gold Rebounds as US Dollar Rally Stalls Despite High Core PCE

Gold prices bounced back on Thursday, gaining almost 1% as the US Dollar weakened. The move came despite the release of core PCE inflation data, which reinforced expectations that the Federal Reserve will maintain elevated interest rates.

Market participants appear to be looking past the inflation print, which typically bolsters the dollar. Instead, the greenback's decline provided support for the yellow metal, even as the 'higher-for-longer' rate narrative persists.

The rebound suggests that gold may be finding a floor near current levels, though the broader outlook remains tied to Fed policy and dollar dynamics.