Gold price sees steady rise above $1,700 following muted U.S. CPI numbers

(Kitco News) - The gold market is seeing a steady rise and continues to hold healthy gains above $1,700 an ounce even as inflation pressures remain muted.

Wednesday, the U.S. Labor Department said its U.S. Consumer Price Index rose 0.4% in February, after a 0.3% rise in December. The data in line with consensus forecasts.

For the year, the report said that headline inflation rose 1.7%.

However, stripping out volatile food and energy prices, core inflation was weaker than expected, rising 0.1% last month, after seeing no change in inflation in January. Economists were expecting to see a 0.2% rise in consumer prices.