Spot gold rose slightly on Friday, but is expected to record a decline this week.

Market participants are waiting for the key US personal consumption expenditure (PCE) inflation report to obtain further clues about the timing of the Federal Reserve's first interest rate cut. According to market expectations, the core PCE inflation rate in June may drop from 2.6% in May to 2.5%, the lowest level since March 2021.

Data shows that the US gross domestic product (GDP) grew by 2.8% year-on-year in the second quarter, faster than expected, but inflationary pressures have eased. These data have not changed the market's expectations for the Federal Reserve's interest rate cut in September.

At present, precious metals are experiencing a cooling off period, and prices are expected to start rising in the last quarter of this year, "Sugandha Sachdeva, founder of SS WealthStreet in New Delhi, said in an interview." With the recent support level of $2280, we believe that when we start seeing interest rate cuts, gold prices are expected to reach $2,680 by the end of this year.As of 06:41 Greenwich Mean Time on Friday, spot gold rose 0.20% to $2,368.92 per ounce.

Gold futures (for August delivery) rose 0.54% to $2366.20 per ounce. Meanwhile, silver futures for September delivery fell slightly by 0.13% to $27.938 per ounce.

The US Dollar Index, which reflects the strength of the US dollar relative to the other six major currencies, fell 0.07% on Friday to 104.326.