Gold Strengthens Ahead of US Data, Dollar Tested
Gold prices strengthened on Thursday (February 19th), regaining ground above the psychological $5,000/oz level as safe-haven demand increased amid escalating US-Iran tensions. Meanwhile, US gold futures rose to $5,025.10/oz, supported by market concerns that escalating conflict in the Middle East could increase risk premiums.
Meanwhile, market participants remain closely monitoring the direction of the Fed's policy after the minutes of its last meeting indicated the central bank remains cautious about cutting interest rates, potentially making gold's movements sensitive to the release of subsequent US inflation data. Expectations of interest rate cuts, which are usually positive for non-yielding assets like gold, remain supportive, but a strengthening dollar/yield could limit upside if inflation data becomes more volatile. (alg)
Gold price at the time of this analysis was $5,010
- Buy if the price moves within $5,017
- Sell if the price moves within $5,003
Resistance 2: $5,031
Resistance 1: $5,024
Support 1: $4,996
Support 2: $4,989
Disclaimer
This article is analytical in nature and is not a definitive reference. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id