Gold Hits New Record High, Market Awaits Fed Decision
Gold prices hit a new record high on Tuesday (September 16th), breaking through $3,685 per ounce. This increase occurred as investors grew more confident that the Federal Reserve (The Fed) would cut interest rates this week, opening the door to further monetary easing in the coming months. Furthermore, the weakening of the US dollar to its lowest level in more than seven weeks also boosted gold prices. The market is now awaiting the release of the Fed's latest economic and interest rate projections via the "dot plot" and Chairman Jerome Powell's press conference following the announcement of the decision.
Expectations for an interest rate cut are growing stronger, supported by weak US employment data and the absence of major inflation surprises. This is positive for non-interest-bearing gold, as it makes the precious metal more attractive compared to interest-bearing assets.
The price of gold at the time of writing was $3,681/Toz.
- Buy if the price moves within the $3,688 range
- Sell if the price moves within the $3,674 range
Resistance 2: $3,702
Resistance 1: $3,695
Support 1: $3,667
Support 2: $3,660
DISCLAIMER
Note: This article is for analytical purposes only and is not a definitive reference. Please consider fundamental and technical developments in trading before making any investment decisions.
Source: Newsmaker.id
