Gold Price Flat Lines Below $2,650 Level Amid Mixed Fundamental Cues
Gold price (XAU/USD) struggles to capitalize on the previous day's rebound from the $2,620 region and oscillates in a narrow band during the Asian session on Tuesday. Expectations for a less dovish Federal Reserve (Fed) assist the US Dollar (USD) to attract some follow-through buying and turn out to be a key factor acting as a headwind for the non-yielding yellow metal. That said, concerns about US President-elect Donald Trump's tariff plans, persistent geopolitical uncertainty and suppressed US Treasury bond yields offer some support to the commodity.
Traders also seem reluctant and opt to wait for more cues about the Fed's rate-cut path before positioning for the next leg of a directional move for the Gold price. Hence, the market focus will remain glued to this week's important US macro releases, including the Nonfarm Payrolls (NFP) report on Friday. Apart from this, Fed Chair Jerome Powell's speech will be looked upon for the interest rate outlook in the US. This, in turn, will play a key role in influencing the near-term USD price dynamics and providing some meaningful impetus to the XAU/USD.(cay)
Soirce: FXstreet
