Gold Daily | Stable Gold Prices Supported by Weak U.S. Employment Data and Rate Cut Expectations

【Latest Gold Price and Recent Trends】

Gold prices remain stable around $3,365, slightly lower than Monday’s peak at $3,385, driven by weak U.S. employment data that heightens rate cut expectations for September, supporting gold as the dollar and bond yields decline.

【Technical Analysis】

Gold maintains a bullish stance on daily charts with RSI above 55, indicating quick buying on dips. The 21-day moving average is nearing a golden cross with the 50-day average. Key support levels are at $3,345, while resistance lies at $3,440. Traders may require strong catalysts to breach $3,450.

【Market Sentiment and Economic Background】

Recent U.S. employment data shows a decrease in job numbers, reinforcing rate cut expectations. The Federal Reserve's potential dovish stance supports gold, considered a safe asset in uncertain times. Concerns over Fed independence due to political pressures and weak job reports further impact the dollar, boosting gold’s appeal. Additionally, U.S.-India trade tensions add to global uncertainties.

【Analyst Opinions】

Analysts suggest the likelihood of a Fed rate cut in September is increasing, positively affecting gold. While gold remains vulnerable to technical resistance, the long-term outlook appears favorable given the expected rate cuts and inflation concerns. The upcoming ISM services PMI data could significantly influence market expectations, with a strong report potentially tempering rate cut hopes and affecting gold prices.