Gold headed for a second straight weekly gain that has pushed it closer to a record high, as investors awaited an inflation reading that may prove key to US monetary easing this year.

Bullion traded in a narrow range around $3,410 an ounce on Friday, after data on Thursday showed the US economy expanded faster than expected. That raised concerns about inflation ahead of Friday’s US personal consumption print, which is forecast to accelerate. That could limit the Federal Reserve’s ability to cut interest rates.

Lower borrowing costs tend to benefit gold, as it doesn’t pay interest.

Traders were also weighing comments on Thursday from Fed Governor Christopher Waller — a key contender to succeed Jerome Powell as Fed Chair next year — who said he would support a quarter-percentage point reduction in September and anticipates additional cuts over the next three to six months.

Swaps markets see around an 85% chance of a rate cut next month, though beyond September there’s a high degree of uncertainty over how inflation and the US labor market will evolve as the impact of President Donald Trump’s tariffs feed through to the economy.

Growing concerns about threats to the Fed’s independence have also benefited the precious metal, after Trump this week moved to oust Fed Governor Lisa Cook.

Gold has gained 1.1% so far this week to inch closer to April’s all-time high of about $3,500 an ounce. Trade and geopolitical frictions, inflows to exchange-traded funds and central bank moves to diversify away from the US dollar have also supported bullion’s haven status this year.

Spot gold was down 0.2% at $3,410.18 an ounce as of 10:22 a.m. in London. The Bloomberg Dollar Spot Index was up 0.1%. Silver, platinum and palladium declined.

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