Gold Daily | Spot Gold Rebounds on Trade Uncertainty Amid Fed Hawkishness and Approaching Key Support

【Latest Gold Price and Recent Trends】

Gold prices rebounded on Thursday due to trade uncertainties sparked by new U.S. tariffs, increasing its appeal as a safe-haven asset. Spot gold rose 1.15% to $3,312, recovering from a monthly low of $3,267.79 reached the previous day.

【Technical Analysis】

Gold is approaching key support at $3,245 on the daily chart, a level that could attract buying interest. If this support is breached, prices may decline towards $3,120. Meanwhile, on the 4-hour chart, a descending trend line guides the bearish momentum, with potential targets at $3,333 and beyond if the trend line is broken. The 1-hour chart shows a relatively simple structure with bears watching for rejection near the trend line and bulls seeking signs of a breakout.

【Market Sentiment and Economic Background】

The Federal Reserve's decision to keep rates unchanged and strong U.S. economic data have weakened the appeal of non-yielding assets like gold. This has been compounded by hawkish Fed rhetoric, reducing expectations for a rate cut in September. Additionally, trade talks and tariff announcements by President Trump on multiple countries have contributed to economic uncertainty, further impacting gold prices. The U.S. core PCE price index, jobless claims, and employment cost index data are anticipated soon, with the non-farm payroll report also due, which could influence gold price trends.

【Analyst Opinions】

Analysts suggest that the $3,250 region has become a critical support level for gold, potentially preventing further declines. However, if breached, a drop to $3,200 is possible. Analysts also note that gold usually performs well in low-interest-rate environments and during periods of economic uncertainty. Overall, despite short-term bearish pressures, the long-term outlook for gold remains positive due to potential Fed policy shifts towards easing.