Gold Daily | Gold Prices Steady at $2,570 Amid Strong Dollar and Reduced Fed Rate Cut Expectations
Friday, Nov 15, 2024 7:00 am ET
1min read 【Latest Gold Price and Recent Trends】
Gold prices have exhibited minor fluctuations, currently trading around $2,570 per ounce, following a significant decline of over 4% this week. The fall is attributed to a strong US dollar and reduced expectations of a Federal Reserve rate cut.
【Technical Analysis】
Gold prices are maintaining a corrective upward trend. Despite recent bearish momentum, technical indicators suggest a possible continuation of the upward adjustment. Critical support levels are at $2,545 per ounce, while resistance levels are seen at $2,600 per ounce.
【Market Sentiment and Economic Background】
Market sentiment is influenced by the Federal Reserve's cautious approach to rate cuts amid robust US economic indicators. Expectations for a December rate cut have decreased, affecting gold's appeal. The dollar's strength has made gold more expensive for non-dollar holders. Additionally, geopolitical tensions in the Middle East have eased, which could further impact gold prices.
【Analyst Opinions】
Analysts suggest that while Federal Reserve Chair Jerome Powell's hawkish remarks might limit gold’s upside potential, the possibility of economic uncertainty under the Trump administration could still attract safe-haven investments in gold. A higher interest rate environment increases the opportunity cost of holding gold, impacting its attractiveness. Analysts also anticipate that upcoming US retail sales data could significantly influence gold’s short-term trajectory.
Gold prices have exhibited minor fluctuations, currently trading around $2,570 per ounce, following a significant decline of over 4% this week. The fall is attributed to a strong US dollar and reduced expectations of a Federal Reserve rate cut.
【Technical Analysis】
Gold prices are maintaining a corrective upward trend. Despite recent bearish momentum, technical indicators suggest a possible continuation of the upward adjustment. Critical support levels are at $2,545 per ounce, while resistance levels are seen at $2,600 per ounce.
【Market Sentiment and Economic Background】
Market sentiment is influenced by the Federal Reserve's cautious approach to rate cuts amid robust US economic indicators. Expectations for a December rate cut have decreased, affecting gold's appeal. The dollar's strength has made gold more expensive for non-dollar holders. Additionally, geopolitical tensions in the Middle East have eased, which could further impact gold prices.
【Analyst Opinions】
Analysts suggest that while Federal Reserve Chair Jerome Powell's hawkish remarks might limit gold’s upside potential, the possibility of economic uncertainty under the Trump administration could still attract safe-haven investments in gold. A higher interest rate environment increases the opportunity cost of holding gold, impacting its attractiveness. Analysts also anticipate that upcoming US retail sales data could significantly influence gold’s short-term trajectory.
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