Gold Weakens, Iran's Escalation Pressures Safe Havens?
Gold fell on Monday (March 30), erasing its first weekly gain since the war began, after the Iran-backed Houthis entered the conflict and the US increased military personnel in the region. Spot gold fell 1.3% to $4,417.63/oz in Asia, while the dollar remained relatively stable.
Pressure stemmed from a surge in oil, which has kept inflation risks high, leading the market to believe global interest rates could remain tight or even turn negative for non-yielding gold. Additional risks arise from potential central bank selling and liquidation of investor positions, following the example of the Turkish central bank selling/swapping gold at the start of the war. (asd)
Gold Price at the Time of Release of This Analysis Was at $4,470
- Buy if the price moves to $4,441
- Sell if the price moves to $4,485
Resistance 2: $4,546
Resistance 1: $4,502
Support 1: $4,414
Support 2: $4,370
Disclaimer:
This article is analytical in nature and is not a definitive reference. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.