XAU/USD After reaching a new two-month high of almost $4,450, gold fell. The precious metal limits its losses when Fed rate rise bets are eased. The short-term buyer reluctance is highlighted by the technical outlook
Gold (XAU/USD) resumed its surge and reached a new two-month high at $4,450 after achieving its biggest one-week gain since January in the first week of August. Meanwhile, markets continued to reduce their bets on a September interest rate hike by the Federal Reserve (Fed). However, Gold corrected lower to end the week mostly unchanged due to the ongoing Middle East conflict. In an effort to find the next directional clue, investors will continue to closely monitor remarks made by Fed officials and evaluate the events surrounding the US-Iran
the negative effects of the dismal US July employment data on the US dollar (USD) persisted, gold began the week on a positive note. Gold increased in the Asian session on Tuesday after climbing more than 1% on Monday, but it lost ground in the American session and ended the day slightly down.According to US President Donald Trump, Iran has "total control" over the Strait of Hormuz, and the situation with them is "going fine." However, markets mostly disregarded these remarks, and Gold found it difficult to maintain its positive momentum when CNN revealed that just eight ships traversed the strait on Tuesday as opposed to an average of 120 prior to the conflict. Furthermore, the US Energy Information Administration (EIA) updated its forecasts for the price of crude oil, stating that it now anticipates that the average price of a barrel of West Texas Intermediate (WTI) will be $80.88 in 2026, as opposed to the prior estimate of $76.26.
