Gold has been trading cautiously since the beginning of this week between the price level of $2,040-$2,026 following the dumping of the speech conference by several members of the Fed committee which has been scheduled since Monday until this Friday.
Investors are seen examining and looking for some key data and indicators that will be given through the Fed conference throughout this week.
Gold was traded higher yesterday following a series of economic data such as the US GDP and the Fed Speech. Market players' hopes of seeing the implementation of interest rates as early as May 2024 are now fading.
Tonight several series of data focus such as "PCE" (Personal Consumption Expenditure) will be published. Expected PCE inflation data:
Prior Expected Data
US Core PCE Price Index YoY 2.8% 2.9%
US Core PCE Price Index MoM 2.4% 2.6%
Any decline in the reading of PCE inflation compared to previous data could revive market players' hopes for the early implementation of interest rate cuts.
It is also able to stimulate the demand for gold prices in the market.
Technical Analysis
Based on the daily chart, yesterday's closing price is seen to be still below the $2,040 level. If the price of $2,040 is about to be broken today, the price of gold is seen to be able to continue to increase at least up to the level of $2,050.
But if otherwise, $2,030 needs to be defended for gold to remain "bullish". The failure of the $2,030 price level can push gold lower to the $2,016 level.
