Gold Daily | Geopolitical Tensions and Weaker Dollar Support Gold Near $2,657 Amid Bullish Patterns
Friday, Jan 3, 2025 7:01 am ET
1min read 【Latest Gold Price and Recent Trends】
Gold is trading near $2,657.57 per ounce, slightly down by 0.1%, after a recent rally driven by geopolitical tensions and a weaker dollar. Market focus remains on upcoming U.S. economic data that could impact interest rates.
【Technical Analysis】
Gold is trading strongly above $2,656, having completed a bullish double-bottom pattern. Analysts predict a potential rise to $2,700 per ounce. Key resistance stands at $2,720, with support at $2,653.
【Market Sentiment and Economic Background】
The gold price benefits from safe-haven demand amid geopolitical tensions, including Middle East conflicts and U.S. political uncertainty. The Fed's monetary policy and potential economic data releases are closely watched as they may provide insight into future interest rate paths. A softer dollar and declining U.S. Treasury yields have also provided support for gold.
【Analyst Opinions】
Analysts highlight the role of geopolitical and economic risks in supporting gold’s momentum. Expectations of continued central bank purchases and geopolitical tensions may push gold towards new highs in 2025. While potential U.S. policies under Donald Trump could increase inflationary pressures, strengthening gold’s appeal as a hedge. Nevertheless, a strong dollar may limit its upside potential. Some analysts foresee gold reaching $3,000, driven by these factors.
Gold is trading near $2,657.57 per ounce, slightly down by 0.1%, after a recent rally driven by geopolitical tensions and a weaker dollar. Market focus remains on upcoming U.S. economic data that could impact interest rates.
【Technical Analysis】
Gold is trading strongly above $2,656, having completed a bullish double-bottom pattern. Analysts predict a potential rise to $2,700 per ounce. Key resistance stands at $2,720, with support at $2,653.
【Market Sentiment and Economic Background】
The gold price benefits from safe-haven demand amid geopolitical tensions, including Middle East conflicts and U.S. political uncertainty. The Fed's monetary policy and potential economic data releases are closely watched as they may provide insight into future interest rate paths. A softer dollar and declining U.S. Treasury yields have also provided support for gold.
【Analyst Opinions】
Analysts highlight the role of geopolitical and economic risks in supporting gold’s momentum. Expectations of continued central bank purchases and geopolitical tensions may push gold towards new highs in 2025. While potential U.S. policies under Donald Trump could increase inflationary pressures, strengthening gold’s appeal as a hedge. Nevertheless, a strong dollar may limit its upside potential. Some analysts foresee gold reaching $3,000, driven by these factors.