Gold Daily | Spot Gold Hovers Around $2500 Amid US Economic Data Anticipation and Geopolitical Tensions

【Latest Gold Price and Recent Trends】

Gold prices are fluctuating narrowly around $2500 per ounce. As of the latest update, spot gold is up 0.2% at $2503. Investors await US economic data to gauge the Federal Reserve's potential rate cut. On August 20, gold reached a record high of $2531.60.

【Technical Analysis】

Gold has been consolidating around $2500 after breaking key resistance levels at $2480 and $2500. Currently, it is poised to break the $2500 barrier, with major support at $2489.96. The 50-day moving average at $2505.92 acts as immediate resistance, followed by stronger resistances at $2512.41 and $2529.03. Analysts suggest that gold buyers could still hold hope if prices remain above $2480.

【Market Sentiment and Economic Background】

The focus remains on US economic data, particularly the ISM Manufacturing PMI and the August non-farm payroll report. The expected PMI improvement to 47.5 could influence the dollar and gold prices. Despite the recent rise in the dollar, a potential Fed rate cut could support gold. Geopolitical tensions in the Middle East also add to gold's appeal as a safe-haven asset, though the lack of new catalysts has limited its rise from recent highs.

【Analyst Opinions】

According to Kelvin Wong from OANDA, gold could surge to $2640 if the US economy shows signs of weakness prompting a significant Fed rate cut. GS analysts recommend a long position in gold as a hedge against geopolitical and financial risks, supported by central bank purchases. ABN AMRO suggests that the outcome of the US November elections could impact gold prices, particularly if Trump wins and imposes tariffs, potentially causing a short-term dip but a long-term recovery. Nicky Shiels from MKS PAMP advises monitoring gold against the euro for a clearer trend, noting that prices near historical highs could indicate continued bullish momentum.