Gold prices drifted ​higher on Thursday as so-called currency debasement fears lingered, while attention shifted ‌to highly anticipated remarks from U.S. Federal Reserve Chair Kevin Warsh this week.

Spot gold was up 0.8% at $4,630.09 per ounce, by 0232 GMT. U.S. gold futures rose 0.7% to $4,685.50.

The dollar-debasement narrative, coupled with concerns about the U.S. budget deficit, remains supportive of gold in the medium term, said Kelvin Wong, a senior market analyst at OANDA.

Gold prices rose more than 5% last week after the U.S. Treasury's move ​to expand purchases of older long-dated bonds. This announcement prompted dollar-debasement fears.

Fed Chair Warsh's remarks ​at the annual Jackson Hole symposium in Wyoming are expected to be closely watched for further direction.

"The market is awaiting the speech for greater clarity on how the Fed will navigate the ​current economic landscape. If he does not provide specific forward-looking monetary policy guidance, ​current market pricing for rate hikes is likely to remain largely unchanged," Wong added.

Markets are assigning ‌a 36.5% probability to a September U.S. rate hike and a 72.7% chance by December, according to the CME FedWatch Tool.

Data on Wednesday showed that annual U.S. inflation unexpectedly held steady in July, well above the Fed's 2% target for the 65th straight month, ​and the pause ​in the decline ⁠from a recent Iran-war-induced peak is likely to add to the central bank's tense debate over whether interest rates should be ​lifted or held steady.

Gold is considered a hedge against geopolitical ​and economic ⁠risks, but higher interest rates can diminish its appeal as it pays no interest.

On the geopolitical front, Qatar's prime minister will visit Tehran to relaunch diplomacy after the U.S. and Iran traded recriminations over Washington's promise to increase economic pressure on Tehran by targeting its trade partners with sanctions.

Spot silver gained 1.7% to $69.28, platinum rose 1.1% to $1,848.57 ​, and palladium firmed 0.5% to $1,334.49.