Gold shrugs off hawkish Powell to start data-packed week

Gold held its ground on Monday as investors digested hawkish comments from Federal Reserve Chair Jerome Powell before a slew of U.S. economic data this week that is expected to shed light on inflation and the labour market.
Spot gold was steady at $1,914.59 per ounce by 1200 GMT. U.S. gold futures gained 0.1% to $1,942.10.
"Even if gold and silver are not moving up, they're relatively steady, but even being steady in this environment can be considered positive news," said Carlo Alberto De Casa, market analyst at Kinesis Money.
The U.S. central bank may need to raise interest rates further to cool still-too-high inflation, Powell said at an annual gathering in Jackson Hole, Wyoming on Friday.
Gold struggled for direction as gains were kept in check by a higher dollar, while a retreat in benchmark 10-year Treasury yields from multi-year highs offered some respite. [USD/] US/]
Non-interest-bearing bullion tends to underperform when higher interest rates boost yields on rival safe-havens like U.S. bonds.
"The general view is that market participants were already priced for a hawkish outcome in the lead-up to Powell's speech, which allows room for some relief on little surprises," said Yeap Jun Rong, a market strategist at IG.
"Concerns of re-accelerating inflation on U.S. economic resilience are translating into mounting bets of a November rate hike."
A series of economic data this week, including the U.S. core PCE inflation and August non-farm payroll report, will likely provide more clarity on the economy's strength.
Highlighting investor sentiment toward bullion, data on Friday showed COMEX gold speculators cut net long positions in the week ended Aug. 22. [CFTC/]
Among other metals, spot silver fell 0.1% to $24.18 but held near Aug. 2 highs. Platinum eased 0.5% to $939.63, while palladium rose 0.9% to $1,235.73.