Gold maintains its firmness this Tuesday, operating at maximum levels in the last six months. This impulse is attributed to the perception that the Federal Reserve The United States has ended its upward cycle of increasing interest rates, in anticipation of the release of fundamental economic data.
Thus, spot gold shows an increase of 0.1%reaching $2,015.29 per ounce, marking its highest point since May 16 during the current session.
Gold futures in the United States for delivery in December they also experience an increase of 0.2%standing at $2,015.50.
Lukman Otunuga, senior analyst at FXTM, notes: “Gold continues to receive support from dollar weakness and declining Treasury yields, as expectations grow that the Fed will cut rates in 2024.”
Gold: the data analyzed by the market
Furthermore, he adds: “A feeling of caution against a busy week for global financial markets is supporting the precious metal. Since breaking through the $2,000 barrier has proven to be considerable resistance, gold is likely to fall if a powerful fundamental catalyst does not emerge.”
The index of dollar it’s found at minimums since the end of August, making gold more affordable for holders of other currencies. Meanwhile, the 10-year bond yield remains at its lowest level in two months, standing at 4.3630%.
According to CM’s FedWatch toolE, Traders Anticipate US Central Bank to Hold Rates in December, considering the probability that it will reduce them in May at 50%. Lower rates lower the opportunity cost of owning bullion, which does not earn interest.
In relation to other precious metalssilver is trading stable at $24.63 per ounce; platinum registers an increase of 0.6%, reaching $924.46; while palladium shows little change, trading at $1,070.07.
Source: Ambito
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