Gold Rebounds, Focus on Fed Minutes
Gold (XAU/USD) rebounded sharply to around $3,348 in the early American session after dropping to $3,311 in the Asian session. This recovery occurred as the US dollar weakened from a one-week peak. The market is also awaiting the release of the minutes of the July Fed meeting tonight.
Risk sentiment improved following a high-profile meeting at the White House between US President Donald Trump, Ukrainian President Volodymyr Zelenskyy, and European leaders. Hopes for a Russia-Ukraine diplomatic breakthrough increased, leading to a slight easing of demand for safe havens, although uncertainty remains.
From a geopolitical perspective, Moscow has not yet committed to the planned summit. Russian Foreign Minister Sergey Lavrov stated that preparations for the meeting should be carried out in stages through technical and diplomatic channels. While awaiting clarity, some hedging positions remain, and attention shifts to the FOMC minutes.
The minutes are expected to shed light on internal debate at the Fed. The July meeting is said to be the first since 1993 with two dissenters on the Board of Governors: Christopher Waller and Michelle Bowman supported a 25 bps cut. Technically, gold remains trapped in a narrow range; the $3,330–$3,340 area is seen as initial resistance to prevent further gains. (ayu)
Source: Newsmaker.id
