Gold trims a part of modest intraday losses, remains close to monthly peak
The post Gold trims a part of modest intraday losses, remains close to monthly peak appeared on BitcoinEthereumNews.com.
Gold price drifts lower after rising to over a one-month peak during the Asian session. A modest USD bounce and a positive risk tone seem to undermine the precious metal. The uncertainty over the Fed’s rate-cut path warrants some caution for the USD bulls. Gold price (XAU/USD) retains negative bias through the first half of the European session, though it lacks follow-through selling and remains close to the highest level since June 16, touched earlier this Wednesday. The optimism over a US-Japan trade deal remains supportive of the upbeat market mood. This, along with a modest US Dollar (USD) uptick, is seen undermining the commodity. However, a combination of factors acts as a tailwind for the precious metal and warrants some caution. Investors remain uncertain about the likely timing and pace of interest rate cuts by the Federal Reserve (Fed). Adding to this, worries about the Fed’s independence fail to assist the USD to register any meaningful recovery from a nearly two-week low touched on Tuesday and act as a tailwind for the non-yielding Gold price. Hence, it will be prudent to wait for strong follow-through selling before confirming that the XAU/USD pair has topped out and positioning for a further near-term depreciation. Daily Digest Market Movers: Gold price bears seem non-committed as Fed uncertainty undermines the USD US President Donald Trump announced in a social media post that his administration had completed a massive trade deal with Japan. Trump added that Japan will pay reciprocal tariffs of 15% and will open its country to trade, including cars and trucks, rice, and certain other agricultural products. The positive developments trigger a fresh wave of the global risk-on trade and dent demand for traditional safe-haven assets. Apart from this, a modest US Dollar bounce from a two-week low touched on Tuesday…
