Gold Steady in Positive Territory After US Inflation Data
Gold held on to a two-day gain, after a surprise slowdown in US inflation revived expectations for a Federal Reserve interest rate cut this year.
Bullion traded near its highest in a month after the consumer price index, which excludes food and energy costs, rose 0.2% after four months of 0.3% gains. That suggested US officials may have room to ease policy sooner than previously thought.
Treasury yields and the dollar fell after the release, boosting bullion’s appeal as it bears no interest and becomes cheaper for most buyers when the US dollar weakens. Swap traders are now fully pricing in a July rate cut again, a change after strong jobs data on Friday saw markets push back expectations for easing to September or October.
Until this news was released, the price of Gold was at the level of $ 2,694
RECOMMENDATION
- Buy if the price moves to around $ 2,680
- Sell if the price moves to around $ 2,710
Resistance Level 2: $ 2,714
Resistance Level 1: $ 2,704
Support Level 1: $ 2,684
Support Level 2: $ 2,674
DISCLAIMER
Note: This article is only an analysis and not a definitive reference. Pay attention to the development of fundamental and technical aspects in transactions before making investment decisions.
Source: Newsmaker.id
