Gold futures continued to rise Friday morning, ahead of inflation data and as tensions between North Korea and the U.S. escalated.
After threatening to visit “fire and fury” on North Korea, President Donald Trump said that maybe the warning “wasn’t tough enough.”
Trump’s words were in response to North Korea threatening to attack U.S. territory Guam.
Gold was up $3 at $1293 an ounce, adding to 2-month highs.
Investors await the headline U.S.consumer inflation data for July for more clues about future Fed decisions. The Federal Reserve is likely to scale back on its expected pace of interest rate hikes if inflation continues to be soft.
Markets also await speeches by Fed officials Robert Kaplan and Neel Kashkari for further direction.