Metals Stocks: Gold prices head higher as investors watch impeachment vote

“Trump has one week left in his term as president. The marketplace remains a bit anxious ahead of the inauguration of Joe Biden as the next president, amid extremists’ threats of violence across the U.S.”

February gold prices
GCG21,
+0.69%
GC00,
+0.69%
were trading $13.80, or 0.8%, higher at $1,858 after settling 0.4% lower on Tuesday.

Gold futures added to gains early Wednesday after the U.S. consumer-price index showed a climb of 0.4% in December and a core reading, minus food and energy, rose 0.1% in December. The year-over-year reading came in at 1.4%, and 1.6% for the core figure, compared against economists’ average estimates for 1.3%, and 1.6%, respectively. The headline CPI has now risen for seven months straight but remains below the Federal Reserve’s 2% target.

Silver for March delivery
SIH21,
-0.10%

SI00,
-0.10%,
meanwhile, erased a modest loss to turn flat, at $25.43 an ounce, following a 0.5% gain in the prior session.

Investors have largely looked past renewed political rancor in Washington. The Democratic-controlled House was expected to vote later Wednesday to impeach Trump for his apparent role in sparking a violent attack on the U.S. Capitol. A handful of House Republicans, including Wyoming’s Liz Cheney, No. 3 in House Republican leadership, have said they would vote to impeach.

Lately, gold has been trading in a relatively muted range and tending lower, with a risk of slipping below a psychologically important price at $1,800, which would be seen as near-term bearish by some technical strategists.