Gold Price Analysis: XAU/USD drops below $1,900 ahead of US data
The XAU/USD pair closed modestly higher above $1,900 on Wednesday but struggled to push higher on Thursday as souring market sentiment helped the USD gather strength. As of writing, the pair was down 0.35% on a daily basis at $1,895.20.
USD capitalizes on risk aversion
The lack of progress in the US stimulus negotiations and renewed fears over the surging number of coronavirus cases causing nationwide lockdowns in Europe weigh on risk sentiment on Thursday. Read Moor...
Gold and Silver to shine after the US elections – TDS
Strategists at TD Securities expect that gold and silver will all do better after the election, with the specific fiscal, tax and social policy initiatives and current market positioning determining the upside magnitude. In addition, they expect silver to outperform the yellow metal due to investments in green technology.
Key quotes: "Despite any vote-related erratic behavior, the post US election period should very likely see a reduction in market volatility and policy uncertainty. With that, it is likely that large fiscal spending programs, topping five trillion dollars over the next two years, will very likely be passed by whoever is in power. At the same time, we believe that taxes over that period should not rise much either, as this would be counterproductive during a pandemic." Read Moor...
Gold to take advantage of the need for monetary easing and fiscal support – HSBC
Gold (XAU/USD) fell below $1,900 per ounce amid lower yields on US Treasuries and a resilient US dollar. Yet, analysts at HSBC think the need for monetary easing and fiscal support should be ultimately positive for the yellow metal.
Key quotes: "The International Monetary Fund (IMF) reiterated its forecast of a 2020 global contraction of 4.4%. This is an improvement over a 5.2% contraction predicted in June. Gita Gopinath, the IMF's chief economist, said some $12 T in fiscal support and unprecedented monetary easing from central banks had helped to limit the damage from the pandemic but support must be maintained." Read Moor...
|Today last price||1896.96|
|Today Daily Change||-4.80|
|Today Daily Change %||-0.25|
|Today daily open||1901.76|
|Previous Daily High||1912.97|
|Previous Daily Low||1882.46|
|Previous Weekly High||1930.62|
|Previous Weekly Low||1873.01|
|Previous Monthly High||1992.42|
|Previous Monthly Low||1848.82|
|Daily Fibonacci 38.2%||1901.32|
|Daily Fibonacci 61.8%||1894.11|
|Daily Pivot Point S1||1885.16|
|Daily Pivot Point S2||1868.55|
|Daily Pivot Point S3||1854.65|
|Daily Pivot Point R1||1915.67|
|Daily Pivot Point R2||1929.57|
|Daily Pivot Point R3||1946.18|
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