Gold Is Getting Hotter! What's the Main Driver Today?
Gold rose and held near its latest high on Friday (December 12th). The main driving force came from market expectations that the Fed could continue to cut interest rates next year (despite its more cautious projections), coupled with a weakening US dollar—a combination that typically makes gold more attractive as real yields tend to fall.
Looking ahead, market attention is on the direction of the USD and US Treasury yields, the upcoming employment/inflation data, and geopolitical risk-off factors—if the USD rebounds sharply, gold could be temporarily held back. However, if the market becomes more confident that the price cuts will continue, gold's support will usually strengthen. (alg)
The gold price at the time of this analysis was released was at $4,293
- Buy if the price is at $4,300
- Sell if the price is at $4,286
Resistance 2: $4,312
Resistance 1: $4,307
Support 1: $4,279
Support 2: $4,274
Disclaimer
This article is analytical in nature and does not constitute a definitive reference. Please consider fundamental and technical developments in trading before making any investment decisions.
Source: Newsmaker.id