Gold edges higher, sticks to tight range, as U.S. inflation reading shows biggest monthly climb in over a year

Gold prices traded higher on Wednesday, sticking to a tight trading range as investors digested the latest reading on U.S. inflation, which revealed the largest monthly climb in more than a year.

Price action

Market drivers

U.S. consumer prices rose by 0.6% in August, which marked the largest monthly increase in 14 months. If energy and food prices are set aside, so-called core inflation rose a smaller 0.3% in August, the consumer price index showed.

The…