While the undertones for gold are bullish, with lower yields on U.S. Treasury 10-year Notes and a lower dollar, it seems gold opened the trading month of August in a tepid manner.

The inflationary rate, according to the PCE (Personal Consumption Expenditures Price Index), the preferred inflationary index that the Federal Reserve uses, rose sharply to a 13 year high in June.

Yesterday’s release of the Federal Reserve’s current monetary policy, coupled with statements made during the press conference by Chairman Powell, signaled a continuation of the extremely accommodative stance.