Gold Price Analysis: XAU/USD still has legs to inch higher – OCBC

FXStreet Insights Team FXStreet

Gold closed above $1900 for the first time since the first week of January. With XAU/USD breaking above the $1900 level, there is a clear bullish momentum with precious metal demand right now,

Gold returns above $1900/oz

“Gold finally closed above the $1900/oz for the first time since the start of the year, and we think that may herald further bullish momentum for the precious metal.”

“Prices have been supported by talks of yet another outsized fiscal stimulus from the Biden administration at $6tn for the 2022 fiscal year. Hence, there has been a divergence between the steady nominal Treasury yield levels and gold movements.”

“A weak Nonfarm payrolls number this Friday may jolt gold prices toward the $1975 level.”

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

GBP/USD keeps the firm tone above 1.3600

GBP/USD clings to its daily gains, although it gives back some of them and recedes toward the 1.3630-1.3620 band on Thursday. Cable’s uptick comes despite the modest bounce in the Greenback, while investors gear up for key data releases on the UK calendar on Friday.

EUR/USD treads water near 1.1670

EUR/USD gives away all its initial gains and receded to the sub-1.1700 region. The US Dollar’s late recovery has dragged the pair lower, leaving it practically unchanged following the NA session on Thursday. In the meantime, investors gear up for the release of preliminary S&P Global Manufacturing and Services PMIs on both sides of the Atlantic on Friday.

Gold consolidates above $4,500 as rising bond yields offset reduced Fed hike bets

Gold holds steady above $4,500 during the Asian session on Friday amid a combination of diverging forces. Reduced Fed rate-hike bets keep US Dollar bulls on the back foot and support the non-yielding bullion. However, higher US bond yields, bolstered by inflation risks stemming from volatile oil prices due to the US-Iran standoff, could limit USD losses and cap the commodity. Nevertheless, XAU/USD remains on track to register gains for the third straight week.

Bitcoin demand turns positive across spot and perpetual markets as price rebounds above $70K

Bitcoin (BTC) demand has turned positive across both spot and perpetual futures markets for the first time since its October 2025 all-time high, according to CryptoQuant founder Ki Young Ju on Thursday. The shift comes as Bitcoin rebounded past $70,000 over the past 24 hours.

Why long bonds have repriced the cost of money

The 30-year Treasury is 12 basis points below its highest level since before the financial crisis. Not its highest since 2023, or since the tightening cycle, but since June 12, 2007, the last time the longest bond in the world's deepest market yielded what it yields on Thursday. Getting there took two attempts and most of the year.

$20 billion offered, $2 billion taken: Why Treasury doubled its buyback cap

The US Treasury moved off its own calendar on Wednesday, and that is the part worth sitting with. At 12:32 GMT, the department said it would at least double the size of liquidity support buyback operations in the 10-year to 20-year and 20-year to 30-year sectors, lifting the maximum from $2 billion per operation to at least $4 billion, effective September 9 and running to November 4.