Gold prices (XAU/USD) are on an upward trajectory following news from the United States that the CPI data released earlier this week came in softer than anticipated. This has led to a positive market sentiment, reducing concerns over the possibility of recession or stagflation.

The market reaction has been noteworthy, with an outflow from US bonds and inflow into US equities. The bond sell-off has subsequently led to increased yields, further supporting the rise in gold prices. Investors view gold as a safe haven amidst these evolving economic conditions.

As markets respond to ongoing geopolitical developments, traders maintain a close watch on both gold prices and related economic indicators, which may shape future trends.