Gold Daily | Gold Reaches Record High on Rate Cut Hopes, Geopolitical Tensions Boost Safe-Haven Demand

Generated by AI AgentAinvest Market Brief
Tuesday, Sep 23, 2025 8:01 am ET1min read
Aime RobotAime Summary

- Gold hits record $3,783/oz as Fed rate cut expectations and geopolitical tensions boost safe-haven demand.

- Technical indicators show overbought conditions with key support at $3,700/oz; analysts predict potential $3,800/oz target.

- 90% October/73% December CME rate cut probabilities, India's strong demand, and central bank purchases drive bullish sentiment.

- Analysts highlight Fed policy shifts, economic distress, and geopolitical risks as key drivers, with some predicting $6,000/oz peak.

【Latest Gold Price and Recent Trends】

Gold prices hit a record high at $3783, driven by increased expectations for further Fed rate cuts. Investors await Fed Chair Powell's speech for more policy cues. The upward momentum has been building since last Friday.

【Technical Analysis】

Gold's RSI indicates an overbought condition, warning buyers. If gold maintains above $3750/oz, it may reach $3800/oz. Key support is at $3700/oz. If it falls below this, $3650/oz may support buyers.

【Market Sentiment and Economic Background】

Expectations for U.S. rate cuts are strong, with the CME tool showing 90% and 73% probabilities for cuts in October and December. Low rates benefit gold. Geopolitical tensions, including the Russia-Ukraine conflict, and U.S. economic challenges also support gold. India's gold demand remains strong, despite high prices, with a premium reaching a 10-month high.

【Analyst Opinions】

Analysts like Ross Norman see hawkish Fed signals as favorable for gold. Institutional investors are boosting demand, possibly shifting from peak stock markets. Economic distress and rate cuts are seen as supportive. Adrian Ash highlights geopolitical tensions and central bank purchases spurring gold's safe-haven appeal. Steve Hanke predicts a bull market peak at $6000/oz. While some expect a pullback, the consensus is bullish. Upcoming events include the U.S. September PMI data and Fed Chair Powell’s speech, which will likely influence gold's trajectory.

Market Watch column provides a thorough analysis of stock market fluctuations and expert ratings.

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