Gold keeps the red below $1340 level

Haresh Menghani FXStreet

Gold oscillated in a narrow trading range and was seen consolidating its bearish gap at the start of a new trading week.

The precious metal started the week on back foot and corrected a bit from over 1-year tops on easing concerns over a standoff between the US and N. Korea, which triggered a fresh wave of global risk-on trade and prompted some profit taking.

Adding to this, a strong US Dollar recovery from last week's 2-1/2 year low, further supported by a goodish pickup in the US Treasury bond yields was also seen driving flows away from dollar-denominated yellow metal.

The corrective slide, however, has been limited amid worries fading prospects of any additional Fed rate hike action by the end of this year. Hence, investors' this week would remain focused on important US macro data, including the latest inflation figures and monthly retail sales data.

The data would influence Fed rate hike expectations and eventually provide some fresh directional impetus for the non-yielding metal ahead of the FOMC meeting on Sept. 19 to 20.

• US inflation key ahead of Sept 20 FOMC - ING

Technical levels to watch

On a sustained weakness below $1335 level, leading to a subsequent drop below $1330 level, could extend the corrective slide towards $1325 level en-route the $1315-14 region. Meanwhile, on the upside, any up-move might now confront fresh supply near $1340 level, above which the metal could make a dart back towards $1350 area ahead of $1360 level.

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

GBP/USD holds range near 1.3500 after UK Q2 GDP

GBP/USD keeps its range near the 1.3500 psychological mark in the European session on Thursday. The mixed UK GDP and industrial data failed to inspire the British Pound. Meanwhile, the US Dollar stabilizes after the US CPI data-led sell-off, checking any upside attempts in the pair.

EUR/USD flatlines above 1.1500 as US Dollar stablizes ahead of PPI

EUR/USD is trading modestly flat above 1.1500 in European trading hours on Thursday. The pair stalls its rebound as the US Dollar consolidates losses incurred after the release of July's Consumer Price Index report. Inflation in the US moderated across a broad range of goods and services, cooling expectations for an aggressive Federal Reserve rate hike in September and weighing on the Greenback. The US PPI data is next in focus.

Gold weakens further below $4,400 as USD sticks to gains amid Fed bets, Iran tensions

Gold extends its intraday retracement slide from the highest level since June 5, around the $4,450 area touched earlier this Thursday, and slides further below the $4,400 mark heading into the European session. The initial market reaction to signs of moderating US inflation fades quickly as investors remain worried that higher energy prices will rekindle inflationary pressures.

XRP holds at make-or-break level, ADA and SOL risk 50-day EMA breakout

Top altcoins, including Ripple, Cardano, and Solana, are facing downside pressure, holding at crucial support levels. The technical outlook for XRP, ADA, and SOL indicates a mild bearish bias as downside pressure mounts.

Gold has priced a Fed pause. The hike is still coming

July inflation landed exactly where the consensus had it, on all four lines of the release, and Gold responded by adding around 1% and holding fast near $4,400/ounce, trading at its highest since early June. A print that surprises nobody is not supposed to move a metal that far.

Why is Crude Oil priced for a reopening the ships haven't made?

Fourteen vessels crossed the Strait of Hormuz on Tuesday. Before the war, the count ran near 120 a day. In the sessions since the waterway was publicly declared open, Brent has drifted back to $87 and West Texas Intermediate (WTI) to $81, both a little lower again on Wednesday, with daily momentum on each unwound from the top of its range in late July to the low twenties now.