Gold prices edged higher on Friday, buoyed by a weaker dollar, but were poised for a weekly decline after hotter-than-expected U.S. inflation data dampened prospects for a super-sized September rate cut by the Federal Reserve.

Gold futures fell after hotter than expected U.S. inflation data lifted the dollar and Treasury yields, likely lowering the odds of a larger September interest rate cut by the Federal Reserve.

Gold prices remained largely steady in Asian trading on Wednesday, supported by moderate U.S. inflation data that reinforced bets on a potential Federal Reserve rate cut. Investors are also keeping an eye on the upcoming U.