Gold Price Analysis: Refreshes multi-year high above $1,750 on Powell’s comments

Gold prices remain on the bids near the highest since late-2012.
Fed’s Powell shows readiness to act, rules out the risk of the US entering a second great depression.
US-China tussle, coronavirus outbreak add to the bullion’s safe-haven demand.

Anil Panchal FXStreet

Gold takes the bids near $1,755.30, intraday high of $1,756.08, amid the early Asian session on Monday. In doing so, the bullion refreshes the highest levels marked since November 2012. Comments from the Fed Chair Jerome Powell recently seem to have put a fresh bid under the yellow metal. Also favoring the safe-haven demand could be the US-China tension that is escalating to another worrisome level.

Despite ruling out negative rates and risks of the US slipping into another great depression, Fed Chair Jerome Powell also cited fears of the US unemployment rate hitting 20-25% peak. The Fed leader additionally cited that the central bank’s ability to use landing programs at disposal.

Read: Fed’s Powell: Fed is not out of ammunition, can do more if required – 60 Minutes interview

On the other hand, US President Donald Trump tried to paint a rosy picture of the world’s largest economy’s recovery from the virus-hit days. The Republican leader recently said that the number of coronavirus cases is strongly trending downward throughout the US.

It’s worth mentioning that the latest war of words between the US and Chinese policymakers have propelled the market’s rush to risk-safety.

While US President Trump signaled preparations of a ‘super-duper’ missile, China’s Global Times’ Editor Hu Xijin called the dragon nation to develop its nuclear arsenal. The world’s top two economies earlier jostled over the virus outbreak and then the flight diverted to the trade deal between them. However, the latest move seems to be a serious one as indicting a war-like situation.

Even so, the market’s risk-tone remains positive with the S&P 500 Futures gaining 0.80% to 2,870 with the US 10-year Treasury yields staying positive around 0.643% by the press time.

Moving on, traders will keep eyes on the US-China headlines, while also focusing on the virus updates, amid a light economic calendar in Asia except for Japan’s Q1 2020 GDP.

Technical analysis

An ascending trend line from Wednesday, around $1,757/58, can offer an intermediate halt during the bullion’s run-up to the year 2012 high near $1,796. On the downside, a short-term rising support line near $1,740 can offer immediate rest during the pullback, a break of which could recall $1,700 on the chart.

Additional important levels

Overview
Today last price	1752.68
Today Daily Change	10.46
Today Daily Change %	0.60%
Today daily open	1742.22

Trends
Daily SMA20	1708.96
Daily SMA50	1653.97
Daily SMA100	1615.42
Daily SMA200	1553.99

Levels
Previous Daily High	1751.8
Previous Daily Low	1728.67
Previous Weekly High	1751.8
Previous Weekly Low	1690.05
Previous Monthly High	1747.82
Previous Monthly Low	1568.46
Daily Fibonacci 38.2%	1742.96
Daily Fibonacci 61.8%	1737.51
Daily Pivot Point S1	1729.99
Daily Pivot Point S2	1717.77
Daily Pivot Point S3	1706.86
Daily Pivot Point R1	1753.12
Daily Pivot Point R2	1764.03
Daily Pivot Point R3	1776.25

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

AUD/USD bulls regain control above 0.6950 amid USD retreat

AUD/USD regains traction and extends the previous day's bounce from the weekly low, aiming for 0.7000 in Asia on Friday. The overnight pullback in US bond yields keeps the US Dollar below an 18-month high, which in turn offers some support to the pair. Meanwhile, hawkish RBA expectations also keep the major underpinned.

USD/JPY holds gains near 158.00 after Japan's weak Household Spending data

USD/JPY clings to gains around 158.00 after data showed on Friday that Japan's Household Spending fell for the ninth straight month, undermining the Japanese Yen. Meanwhile, the US Dollar remains depressed as the overnight fall in US bond yields counters a hawkish Fed and geopolitical uncertainties, could cap any downside in the pair.

Gold trims gains; back below $4,200

Gold now gives away part of its initial bullish attempt to weekly highs, returning to the area below the $4,200 mark per troy ounce on Friday. The current pick-up in the US Dollar’s upside momentum in combination with rising US Treasury yields across the curve seem to keep extra gains in the yellow metal under scrutiny.

Ethereum activates Glamsterdam on Sepolia testnet: Why the price is falling anyway

Ethereum (ETH) has reached a key milestone in its next major network upgrade. The planned changes aim to improve Ethereum’s Layer 1 capacity and efficiency as network activity grows. The development comes as ETH retreats toward $2,500, highlighting the contrast between the network’s long-term technical progress and its short-term market weakness.

UoM Consumer Sentiment Index expected to decline in October amid high Oil prices

The Preliminary Michigan Consumer Sentiment Index is forecast to decline for a third consecutive month in October. The US Dollar Index maintains upward pressure near its 2026 peak in the 102.50 region ahead of the release.

The UK 30-year gilt just hit a 1998 high. Is that good or bad for the British Pound?

The yield on the UK's 30-year government bond, or gilt, went through 6% on October 1 for the first time since early 1998, and on Monday the Pound was at its strongest against the Euro since June 2025. The gilt market's 28-year high is mostly someone else's. Since early May, the 30-year gilt yield has risen about 0.15 of a percentage point and the US 30-year about 0.7.