Gold Price Forecast: XAU/USD to renew upside with eyes back on the $1,950 level

FXStreet Insights Team FXStreet

Gold is easing from $1,950 so far this Wednesday. Will XAU/USD recapture $1,950 on Russia-Ukraine peace talks 2.0? There is room for another uptrend in the yellow metal, in the view of FXStreet’s Dhwani Mehta.

Fed Chair Powell is set to testify as fighting goes on in Ukraine

“Risk sentiment improved in Asia this Wednesday, as the S&P 500 futures sprung back into the green, in anticipation of the second round of peace talks between the two warring nations.”

“The focus now shifts towards the US ADP Employment data and Fed Chair Jerome Powell’s testimony. Powell may refrain to deliver any signals on aggressive tightening plans, in the face of the ongoing Ukraine crisis.”

“If buyers regain footing above $1,950, then a test of the multi-month highs of $1,975 will be once again on the table.”

“On the flip side, the further retracement could put the rising trendline support, now at $1,903, at risk. The next support is seen at $1,900, below which a fresh downswing will be triggered towards the upward-pointing 21-Daily Moving Average (DMA) at $1,870.”

See – Gold Price Forecast: XAU/USD to remain bullish unless it craters under $1,770 – DBS Bank

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.

EUR/USD advances as US-Iran peace deal weighs on US Dollar

EUR/USD rises after registering minor losses in the previous day, trading around 1.1610 during the Asian hours on Monday. The pair appreciates as the US Dollar declines amid easing risk aversion following the reports that the United States and Iran agree on a peace deal to end the war and reopen the Strait of Hormuz.

GBP/USD rises as market sentiment improves on US-Iran peace deal

GBP/USD gains ground after registering minor losses in the previous day, trading around 1.3450 during the Asian hours on Monday. The pair rises as the US Dollar declines amid easing risk aversion following the reports that the United States and Iran have agreed on a peace deal to end the war and reopen the Strait of Hormuz.

Gold rises to weekly high as US, Iran reach peace deal

Gold price rises to a weekly high during the Asian trading hours on Monday. The precious metal rebounds after the United States and Iran had reached a deal to end their conflict, easing concerns about inflation and higher interest rates.

Experts agree: Bitcoin nears bottom, but weak demand raises doubts

Bitcoin is trading above $63,000 at the time of writing on Friday after rebounding from the key 200-week Simple Moving Average near $62,000, a level widely viewed as key long-term support. The recovery may suggest that Bitcoin has found a floor after a sharp correction that spanned more than a month, but some warning signs persist.

BoJ set to hike, but will it save the Yen?

The Bank of Japan is poised to hike interest rates for the fifth time in this tightening cycle on Tuesday, taking the policy rate from 0.75% to 1.00%. As has become customary for BoJ rate hikes lately, the hawkish rhetoric has been intensifying in the run up to the meeting, with Governor Ueda essentially locking in the move in his last appearance on June 3.

4.2% headline, 0.2% core: Why the Fed's next hike may be targeting the wrong problem

May's CPI put headline inflation at 4.2% on the year, up from 3.8% in April and the hottest reading since April 2023, while core prices rose just 0.2% on the month, undershooting the 0.3% consensus and halving April's pace.