Gold Daily | Spot Gold Hits Monthly Low Amid Trade Optimism and Anticipation of Key U.S. Economic Data

【Latest Gold Price and Recent Trends】

Gold prices dropped to their lowest in over a month, with spot gold down 0.3% to $3,167, influenced by eased trade tensions between major economies and anticipation of U.S. economic data.

【Technical Analysis】

Gold prices are under pressure after breaking below major support levels, including the 50-day SMA at $3,155. RSI indicates potential further downside unless prices hold above this level, suggesting a possible rebound towards $3,308, or further decline towards $3,072.

【Market Sentiment and Economic Background】

Investor sentiment shifts due to U.S.-China trade optimism, reducing gold's appeal as a safe haven. Upcoming U.S. PPI and retail sales data are being closely watched, potentially impacting Fed rate cut expectations. Lower interest rates generally favor gold, but rising U.S. Treasury yields and eased geopolitical tensions are weighing on prices.

【Analyst Opinions】

Analysts note that the recent trade optimism and Fed rate cut bets have reduced gold's attractiveness. If risk sentiment worsens or economic data disappoints, it could support gold prices. The U.S. budget deficit may also provide long-term support for gold.