Two Words: FOMC & Tariffs. Gold? BOOM!
Gold prices rose to nearly $3,320 per ounce in Thursday's Asian trading session, continuing their upward trend after the release of the FOMC minutes overnight revealed a split within the Fed over the direction of interest rates. Most officials still left open the possibility of two rate cuts this year, while others tended to be cautious, fearing that new import tariffs would trigger inflation. This uncertainty reinforced gold's appeal as a safe-haven asset, especially since lower interest rates make non-yielding bullion more competitive than bonds.
Geopolitically, market sentiment was also boosted by US President Donald Trump's surprise announcement of a 50% tariff on Brazil, one of the highest tariffs so far in the new trade war cycle. This move added pressure on global trade and heightened concerns about slowing growth, prompting global investors to return to precious metals as a hedge. The combination of the prospect of monetary easing and geopolitical risks kept gold prices on a medium-term bullish path, with the potential to test the next resistance level above $3,330 if the Fed's dovish sentiment persists.
Recommendation:
Buy if the price breaks above $3,326
Sell if the price breaks below $3,314
Resistance 2: $3,332
Resistance 1: $3,326
Support 1: $3,314
Support 2: $3,308
Note: This article is intended for analysis and not as a definitive reference. Always pay attention to fundamental and technical developments before making investment decisions.
Source: ads-Newsmaker.id
