Gold Price Forecast: XAU/USD buyers could not crack the $1800 despite falling US bond yields | The Markets Café
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact
Sunday, May 11, 2025
No Result
View All Result
Subscribe
  • Login
The Markets Café
  • News
  • Politics
  • Markets
    • Stocks
    • Futures
    • Commodities
  • Crypto
    • News
    • Markets
    • NFT
    • DeFi
    • Explained
  • Economy
  • Finance
  • Investing
  • Forex
  • Real Estate
  • Tech
  • VideosHOT
  • Community
  • Charts
  • News
  • Politics
  • Markets
    • Stocks
    • Futures
    • Commodities
  • Crypto
    • News
    • Markets
    • NFT
    • DeFi
    • Explained
  • Economy
  • Finance
  • Investing
  • Forex
  • Real Estate
  • Tech
  • VideosHOT
  • Community
  • Charts
No Result
View All Result
The Markets Café
No Result
View All Result
  • News
  • Politics
  • Markets
  • Crypto
  • Economy
  • Finance
  • Forex
  • Investing
  • Tech
  • Videos
  • Community
Home Forex

Gold Price Forecast: XAU/USD buyers could not crack the $1800 despite falling US bond yields

by Press Room
August 13, 2022
in Forex
96 7
A A
0
21
SHARES
687
VIEWS
FacebookTwitter
  • Gold price records gains for four consecutive weeks, up 1.08%.
  • Lower US inflation data during the week keeps investors cheerful and hopeful that the Fed will tighten “less” aggressive.
  • The UoM Consumer Sentiment report for August exceeded expectations.
  • Gold Price Forecast: Range-bound despite broad US dollar weakness throughout the week.

Gold price erases some of Thursday’s gains, though stays below $1800 due to falling US bond yields, spurred by earlier US inflation data revealed during the week. That consumer and wholesale prices are showing signs of easing could deter the US Federal Reserve from tightening aggressively. At the time of writing, the XAU/USD is trading at $1794.49 a troy ounce.

US Consumer Sentiment rises, while US inflation expectations are mixed

Global equities are recording gains, portraying an improved risk appetite. At the time of typing, the University of Michigan Consumer Sentiment for August came better-than-estimated, at 55.1 vs. 52.5 expected, while inflation expectations for one year, easied to 5% from 5.2%, while for a five-year horizon uptick from 2.9% to 3.0%.

Joanne Hsu, director of the survey, said, “In spite of this strength in the labor market and some signs of improvement in inflation, consumer sentiment remains very low by historical standards.”

In the meantime, Fed speakers continued its campaign that they’re not done tackling inflation, led by San Francisco’s Fed Mary Daly. During an interview with Bloomberg on Thursday, she said that inflation is too high, despite consumer and producer prices indicating inflation is slowing. She favors a 50 bps rate hike for the September meeting as a base case, but she does not take off a 75 bps out of the table and would depend on data. She downplayed recession fears and foresaw the Federal funds rate (FFR) to end at 3.4% by the end of the year.

Meanwhile, Richmond’s Fed Thomas Barkin said that inflation data this week is “welcome,” but he wants to see a sustained period under control. He added that more hikes are coming while saying that he’s undecided about the size of the rate increase.

The US Dollar Index, a gauge of the buck’s value against a basket of peers, is up 0.57% at 105.687, while the US 10-year bond yield drops three basis points to 2.857%, a tailwind for gold prices.

Apart from this, tensions between the US and China regarding Taiwan calmed throughout the day. However, Europe’s economic crisis may encounter another factor to consider, with the Rhine River in Germany breached its 40 cms level, which would halt navigation through it

What to watch

Next week, the US economic docket will feature the NY Fed Manufacturing, Housing data, Industrial Production, and Retail Sales.

Gold Price Forecast (XAU/USD): Technical outlook

During the last week, XAU/USD prices consolidated in the $1783-$1807 range. It’s worth noting that despite lower US inflation data reported, which propelled lower US bond yields, gold could not break the range and push towards the confluence of the 100 and 200-day EMA, around the $1837-$1842 area.

If XAU/USD breaks above $1807, traders could expect gold to test the latter. Otherwise, if the gold price continues below $1800, a move towards the 20-day EMA at $1753.49 is on the cards.

Read the full article here

Related Articles

Forex

Mexican Peso firms despite weak data as trades turn cautious on US-China talks

May 11, 2025
Forex

Australian Dollar under pressure as global trade and economic uncertainties persist

May 11, 2025
Forex

Trump: The US will keep tariffs despite reaching trading deals

May 10, 2025
Forex

EUR/JPY Price Analysis: Euro steadies near 164.00 as bullish structure holds firm

May 10, 2025
Forex

USD/JPY struggles as US Dollar Softens Ahead of Key Trade Talks

May 10, 2025
Forex

AUD/NZD Price Analysis: Aussie holds near 1.0800 as bullish signals persist

May 10, 2025

About Us

The Markets Café

The Markets Cafe is your one stope Finance, Politics and bussines news website, follow us to get the latest news and updates from around the world.

Sections

  • Commodities
  • Crypto Markets
  • Crypto News
  • DeFi
  • Economy
  • Explained
  • Finance
  • Forex
  • Futures
  • Investing
  • Markets
  • News
  • NFT
  • Politics
  • Real Estate
  • Stocks
  • Tech
  • Videos

Site Links

  • Contact
  • Advertise
  • DMCA
  • Submit Article
  • Forum
  • Site info
  • Newsletter

Newsletter

THE MOST IMPORTANT FINANCE NEWS AND EVENTS OF THE DAY

Subscribe to our mailing list to receives daily updates direct to your inbox!

  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact

© 2022 The Markets Café - All rights reserved.

No Result
View All Result
  • News
  • Politics
  • Markets
    • Stocks
    • Futures
    • Commodities
  • Crypto
    • News
    • Markets
    • NFT
    • DeFi
    • Explained
  • Economy
  • Finance
  • Investing
  • Forex
  • Real Estate
  • Tech
  • Videos
  • Community
  • Charts

© 2022 The Markets Café - All rights reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.