GOLD 3/7 : Gold price prediction for the new week

Gold price (XAU/USD) reported a corrective move down near $1,910.00 during the London session. The precious metal is under pressure as the Federal Reserve (Fed) repeatedly reiterates interest rate hikes is deepening worries about persistent inflation in the US economy.

The US Dollar Index (DXY) rebounded strongly to near 103.20 as investors awaited the release of US Manufacturing PMI (June) data. According to the preliminary report, the economic data is seen higher at 47.2 compared with the previous release of 46.9. Investors should note that a number below 50.0 is considered a contraction and that factory operations in the United States have declined for seven consecutive months.

Technically, with the retracement continuing last Friday, the week W candle is showing signs of withdrawing the candlesticks. This adds to the hope of a recovery for Gold prices

Kommentera:

Fed rate hikes will make gold fall. But given the position of gold in the market, we could see the stock market being sold off and safe-life demand coming back strong. This should support gold in the short term.

Kommentera:

Cheering the assessment beat US statistics while ignoring individual mandates, the Federal Reserve's (Fed) record trails as the US Dollar retreats from all-time highs in three weeks.

Kommentera:

On Monday, the US ISM Manufacturing PMI for June fell to a three-year low, as well as staying below 50 for the seventh month in a row, as it ticked 46.0 against 47. , 2 expected and 46.9 before. Further details reveal that the ISM Manufacturing Employment Index slipped to a March low of 48.1 in June from 51.4 previous readings but the New Orders Index improved to 45 .6 from 42.6 marked in May and 44.0 according to the maket forecast.