Superior broker technology provider since 2010
+1 (315) 675 1086 | Sales@YourOwnBrokerage.com

Price of Gold Breaks New Highs


The continued weakening of the price of the US dollar remains supportive of the price of an ounce of gold XAU/USD in moving towards important resistance levels.

  • We tested the level of 1948 dollars per ounce, the highest price of the yellow metal in nine months and is stable around it at the time of writing the analysis.
  • Gold futures settled higher, making gains for the fifth session in a row, as the dollar weakened amid growing hopes that the Federal Reserve will slow the pace of raising American interest rates.
  • The US dollar index DXY is stable around the 101.62 support level at the time of writing its lowest analysis since mid-2022.

Silver futures closed higher at $23.941 per ounce, while copper futures settled at $4.2445 per pound. In general, the focus is now on the US GDP data for the fourth quarter scheduled for Thursday, which may determine the tone of the Federal Reserve Bank at the policy meeting from January 31 to February 1.

Advertisement

Wall Street markets are shedding most of the losses driven by a dire sales warning from Microsoft, with traders now turning their attention to Tesla’s earnings report after the market close. The S&P 500 nearly erased losses of nearly 2 percent earlier in the session. The shares of the electric car giant Elon Musk fell – and his results may lead to injecting another dose of volatility. Options pricing suggests the stock could swing as much as 11 percent in either direction after the report, which would be the biggest such move since 2021, according to data compiled by Bloomberg.

The S&P 500 index is headed for the best January since 2019 driven by expectations that the Federal Reserve Bank will adjust the rise in US interest rates. The stock recovery came at a time when the American economy was headed for contraction – which paved the way for sales. According to the analysts, investors should use any increases to reduce exposure to the stock market, and added that the slowdown in economic growth caused by the tightening of the Federal Reserve Bank and its effect on corporate profits is likely to be priced into stocks over the next several months.

 

In other corporate news, shares of AT&T Inc rebounded after beating analysts’ profit estimates even as the company’s 2023 outlook came in short of Wall Street targets. And Boeing Co posted a surprise loss through the end of 2022 — its sixth consecutive quarter of money losses — as higher costs slowed the planemaker’s recovery even as a wave of plane delivery delays boosted cash.

Finally, the Canadian dollar fell as the Bank of Canada raised interest rates for the eighth consecutive and possibly final time – saying it expects to move to the margin and balance the impact of its rapid tightening.

Today’s XAU/USD Gold Price Predictions:

The general trend of the XAU/USD gold price is still rising. The continuation of the weakness of the US dollar amidst the negative results of the expected US economic data today and tomorrow may push the bulls to move towards the historical peak of $2000 per ounce. This may technically happen if the price of gold XAU/USD moves towards the resistance levels of 1962 and 1985 dollars respectively. Consider that the recent gains have moved the technical indicators towards levels of overbought. In case the dollar received a positive wound, the price of gold may be exposed to sales operations to reap quick profits and may move towards the support levels of 1924, 1910 and 1882 dollars respectively.

Ready to trade today’s Gold prediction? Here’s a list of some of the best Gold brokers to check out.

Gold

Leave a Reply

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

YourOwnBrokerage is a leading Technology & Business Consulting firm with a specialized focus in Fintech industry.


RISK WARNING: Trading products are highly speculative in nature and carries a significant level of risk which may not be suitable for all investors. Please ensure you fully understand the risks involved and only invest money you can afford to lose. Seek advice from an independent adviser if at all unsure as to the suitability of investing in such instruments.


The content of this website must not be construed as personal advice. We recommend that you seek advice from an independent financial advisor.


The information on this website is not directed to residents of certain jurisdictions where such distribution or use would be contrary to local law or regulation.



© 2009 - 2024 YourOwnBrokerage.com. All Rights Reserved.