Gold Remains Stalled as Market Awaits Fed Signals
Gold fundamentals remain caught in a strong tug-of-war. Spot gold is trading in the US$4,350–US$4,360 per troy ounce range, attempting a modest rebound after facing significant downward pressure yesterday. This morning's rebound indicates that buyers are re-entering the market, though not yet strongly enough to reverse the pressure stemming from the bond market.
Pressure is also coming from rising oil prices. Brent crude is moving toward the US$91.5–US$92 per barrel range this morning, while WTI sits above US$85. The US-Iran standoff, reduced traffic through the Strait of Hormuz, and the absence of new negotiations are keeping supply risks elevated. The issue for gold is that expensive oil implies rising inflation risks—which could keep yields high—meaning the possibility of the Federal Reserve turning hawkish again remains alive. Consequently, geopolitics is not automatically bullish for gold right now; the inflationary impact of oil prices is currently the dominant factor.
Gold price at the time of this analysis: $4,354
- Buy if the price moves to $4,359
- Sell if the price moves to $4,349
Resistance 2: $4,379
Resistance 1: $4,367
Support 1: $4,333
Support 2: $4,311
Note: This article is analytical in nature and does not constitute definitive advice. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id
