By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Gulf PressGulf Press
  • Home
  • Gulf News
    • Saudi Arabia
    • UAE24/7
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • World
  • Business
    • Market DataLive
    • Finance
    • Economy
    • Energy
    • Crypto
    • ForexHot
    • Tech
  • Sports
  • Lifestyle
  • Videos
Search
Countries
  • Saudi Arabia
  • UAE
  • Kuwait
  • Qatar
  • Bahrain
  • Oman
More Topics
  • Technology
  • Health
  • Entertainment
  • Crypto
  • Forex
  • Stocks
Site Links
  • Business Hub
  • Trending
  • Weather
  • Customize Interests
  • Bookmarks
  • Newsletter
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Reading: Gold price stays lukewarm despite stable US Dollar before Fed decision
Share
Notification Show More
Latest News
UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech
Beat the Heat This Summer with a Chill Out on Dubai Marina
World
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World
Jordan to Host Iraq in the Final Round of the Asian World Cup Qualifiers After Securing Historic Spot
Sports
Aa
Gulf PressGulf Press
Aa
  • Gulf News
  • World
  • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Videos
Search
  • Home
    • Videos
    • Business Hub
    • Trending
  • Gulf
    • Saudi Arabia
    • UAE
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • Business
    • Market Data
    • Crypto
    • Economy
    • Energy
    • Finance
    • Forex
    • Tech
  • More News
    • World
    • Lifestyle
    • Entertainment
    • Sports
Have an existing account? Sign In
Follow US
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Gulf Press > Business > Forex > Gold price stays lukewarm despite stable US Dollar before Fed decision
Forex

Gold price stays lukewarm despite stable US Dollar before Fed decision

News Room
Last updated: 2024/11/07 at 5:27 AM
News Room
Share
3 Min Read
SHARE

Gold prices have been facing downward pressure as the US Dollar appreciated to a four-month high following the victory of former President Donald Trump in the US election. The precious metal is struggling as safe-haven flows decline due to market optimism and “Trump trades”. The market had been anticipating a contested outcome, but now, with more clarity surrounding the presidential victory, safe-haven assets like Gold are losing their appeal. The non-yielding XAU/USD is facing challenges as US Treasury yields trade near the highest levels since July.

Gold price has been struggling as US Treasury yields surged to their highest levels since July, with the 2-year and 10-year US Treasury bond yields rising to 4.31% and 4.47%, respectively. However, there is a possibility that Gold price may receive support in the future as Republican Donald Trump could lead to higher inflation by pledging to significantly raise trade tariffs. Investors may seek safe-haven assets like Gold as a hedge against long-term inflation risks. Trump’s economic policy, which includes imposing tariffs and reducing taxes, conflicts with the Federal Reserve’s efforts to control inflation, prompting the US central bank to potentially take a more gradual approach to easing monetary policy.

Technical analysis suggests that Gold price may see a continuation of the bearish bias, with the price currently trading around $2,650 per troy ounce. The daily chart indicates that the price is below both the nine- and 14-day Exponential Moving Averages (EMAs), with the 14-day Relative Strength Index (RSI) also below 50, supporting a bearish outlook. On the downside, the XAU/USD pair could test a three-week low of $2,603.53, and breaking below this level could pressure Gold price to navigate the region around $2,500.00. As for resistance, the psychological level of $2,700.00 and the nine-day EMA at $2,711.40 could act as barriers, with a break above potentially testing the all-time high of $2,790.11 recorded on October 31.

The US Federal Reserve’s policy decision on interest rates will be closely watched by the market, with expectations of a modest 25 basis point rate cut this week. Lower interest rates could provide support for Gold as they reduce the opportunity cost of holding non-interest-bearing assets. The Federal Reserve aims to keep inflation at 2% and maintain full employment, using interest rate decisions as its main tool. If the Fed decides to hike rates, the US Dollar tends to strengthen, while rate cuts usually weaken the USD. The tone of the Federal Open Market Committee (FOMC) statement will also be crucial, as a hawkish tone expects higher future rates, while a dovish one expects lower rates. The next release is scheduled for Thursday, November 7, 2024.

Sign Up For Daily Newsletter

Be keep up! Get the latest breaking news delivered straight to your inbox.
I have read and agree to the terms & conditions
By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
News Room November 7, 2024
Share this Article
Facebook Twitter Copy Link Print
Previous Article Indian stocks see positive outlook following Trump’s victory, manufacturing and exports receive boost: Report
Next Article Liam Payne’s remains to be repatriated to the UK
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected

235.3k Followers Like
69.1k Followers Follow
56.4k Followers Follow
136k Subscribers Subscribe
- Advertisement -
Ad imageAd image

Latest News

UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports July 6, 2025
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech July 1, 2025
Beat the Heat This Summer with a Chill Out on Dubai Marina
World July 1, 2025
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World June 28, 2025

You Might also Like

Forex

Pound Sterling Price Update and Prediction: GBP strengthens as risk sentiment improves

January 6, 2025
Forex

Elliott Wave Technical Analysis of NVIDIA Corp. (NVDA) [Video]

January 6, 2025
Forex

EUR/USD: Is it a Dead Cat Bounce? – OCBC

January 6, 2025
Forex

AUD/JPY maintains gains around 98.50 following PMI data release

January 6, 2025
Forex

NZD/USD edges up to nearly 0.5650 after China’s Caixin Services PMI

January 6, 2025
Forex

Japanese Yen bulls stay on the sidelines as USD/JPY remains steady above the mid-157.00s

January 6, 2025
Forex

Silver Price Prediction: XAG/USD bears in control below $30.00 near 200-day SMA

January 6, 2025
Forex

Gold price drops from multi-week high due to hawkish Fed expectations

January 6, 2025
//

Gulf Press is your one-stop website for the latest news and updates about Arabian Gulf and the world, follow us now to get the news that matters to you.

Quick Link

  • Privacy Policy
  • Terms of ue
  • Advertise
  • Contact

How Topics

  • Gulf News
  • International
  • Business
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our latest news instantly!

I have read and agree to the terms & conditions
Gulf PressGulf Press
Follow US

© 2023 Gulf Press. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

I have read and agree to the terms & conditions
Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?