Gold price (XAU/USD) consolidates intraday loss, the second one in a row around $1,965 as US Dollar, as well as the Treasury bond yields, struggle to defend the previous day’s gains amid mixed sentiment during Thursday’s European session. With this, the bright metal pares the second weekly loss amid a cautious mood ahead of the top-tier inflation data from Europe and the US.

While portraying the sentiment, the US Dollar Index (DXY) retreats from its intraday high to print mild losses near 102.60 while S&P 500 Futures struggle around a one-week high marked the previous day. Further, the US 10-year and two-year Treasury bond yields fade upside momentum around 3.57% and 4.09% respectively.

China Premier Li Qiang’s hopes that the economic situation in March is even better than in January and February joins Fed Chair Jerome Powell’s signals of policy pivot after one more rate hike seems to have underpinned the latest run-up of the Gold price.

It should be noted, however, that the majority of the central bankers defend their previous bias about inflation and hence challenge the Gold buyers. Additionally, International Monetary Fund’s (IMF) Managing Director Kristalina Georgieva said on Thursday, “Urgently need faster, more efficient mechanisms for providing debt support to vulnerable countries.” Her comments renew banking fears which eased previously.

Above all, the market’s preparations for top-tier inflation numbers from Europe and the US seem to allow the Gold price to trim weekly losses. That said, the US fourth quarter (Q4) Core Personal Consumption Expenditure (PCE) and final prints of the Q4 Gross Domestic Product (GDP) can entertain intraday traders of the XAU/USD.