Gold Pauses Recovery, Stalls Near $4,100 on US Inflation, Mideast Tensions

Gold pared its rebound in Asian trading on Wednesday after failing to hold above the $4,100 level. The metal had been recovering from a seven-month trough of $4,024 but encountered renewed offers near the psychological resistance.

Sellers remain active despite the continued hostilities in the Middle East, traditionally a supportive factor for gold. The commodity is now under pressure from hot US inflation data, which dampens expectations for near-term policy easing.

Traders are watching for further cues from the US economic calendar and geopolitical developments. The persistent selling interest above $4,100 suggests the recovery attempt remains fragile.