Gold holds above $1,700 awaiting election results and inflation data

Growth in bullion prices stalled on Thursday. However, gold prices are still hovering around $1,700 amid uncertainty over the US midterm elections and markets awaited key domestic inflation data.

Overall, bullion prices posted strong gains this week as the dollar tumbled ahead of an election, with initial results showing that the Republicans still have a strong chance of winning, according to Investing.com.

The election results are not yet known. Several states are still counting votes.

As doubts about the direction of US fiscal policy weighed on the dollar as well as other broader stock and currency markets, gold prices have benefited from safe haven demand.

CPI data is expected to show that inflation remained at around a 40-year high until October. At the moment, the focus turns to the data on the consumer price index in the US. This value is expected to influence the direction of United States monetary policy in the foreseeable future.