Gold prices edged lower on Wednesday after hotter-than-expected U.S. inflation data boosted the dollar and expectations that the Federal Reserve will continue on an aggressive policy tightening path.
Spot gold prices fell 0.2% to $1,698.14 per ounce, as of 0120 GMT.
U.S. consumer prices unexpectedly rose in August and underlying inflation accelerated amid rising costs for rents and healthcare, giving the Fed ammunition to deliver a third 75 basis points interest rate hike next Wednesday.