Gold Price News and Forecast: XAU/USD

FXStreet Team FXStreet

Gold Price Analysis: XAU/USD at highest in over a month amid dovish Powell comments

Spot gold (XAU/USD) prices hit their highest levels in over a month of just north of the 18 March $1755 high in recent trade and continue to hold in the upper-$1750s. The pair has been on the front foot for most of Thursday’s session, rising from Asia Pacific levels in the $1730s. That means gold is trading with gains of about 1.1% or just under $20 on the day. To the upside, short-term bulls will be looking for a test of the 50-day moving average at $1764.

Driving the day

The main driver of gold price action on Thursday has been US government bond markets. Yields are a little lower, with the 10-year down about 2bps to under 1.64%. Following dovish commentary from Fed Chair Jerome Powell, more downside in US government bond yields may well be in store, which would be a positive for gold. Though bonds have not yet reacted much to Powell’s remarks, the US dollar has been hit, with the DXY slipping all the way back to the 92.00 level. The weaker US dollar is also a supportive factor for gold.

U.S. labor market is recovering. Will Gold too?

The March nonfarm payrolls were surprisingly strong. If the current favorable trend in the U.S. labor market continues, gold may struggle.

As the chart below shows, in March 2021, total nonfarm payrolls rose by 916,000 , following gains of 468,000 in February (after an upward revision). The latest gains were the largest since August 2020. It’s important to note here that job growth was widespread, although led by gains in leisure, hospitality, education, and construction.

EUR/USD rises to 1.1800 neighborhood amid renewed USD selling and trade uncertainties

The EUR/USD pair regains positive traction during the Asian session on Wednesday and jumps to the 1.1800 neighborhood in the last hour, reversing the previous day's modest losses. The intraday move up is sponsored by the emergence of fresh US Dollar, which continues to be weighed down by persistent trade-related uncertainties.

GBP/USD remains stronger above 1.3500 following Trump’s State of the Union

GBP/USD remains in the positive territory for the fourth successive session, trading around 1.3510 during the Asian hours on Wednesday. The pair appreciates as the US Dollar remains subdued following US President Donald Trump’s first State of the Union address of his second administration before a joint session of Congress.

Gold re-attempts $5,200 amid tariffs and geopolitical woes

Gold buyers are back in the game early Wednesday after seeing a correction from monthly highs on Tuesday. The US Dollar slips after Trump’s SOTU fails to impress and as AI-driven worries ease. Dovish Fed bets also weigh. Gold looks north so long as the key 61.8% Fibo resistance at $5,142 holds on the daily chart.

Bitcoin, Ethereum and Ripple post cautious recovery amid downside risks

Bitcoin, Ethereum, and Ripple are posting a cautious recovery on Wednesday following a market correction earlier this week. BTC is approaching a key breakdown level, while ETH and XRP are rebounding from crucial support levels.

The Citrini report: How a debatable AI narrative can shake Wall Street

That AI-related headline alone was enough to rattle investors.US stocks slid sharply on Monday after a widely circulated Citrini Research memo outlined a hypothetical “2028 Global Intelligence Crisis”, warning that rapid AI adoption could push US unemployment into double digits as early as by mid-2028.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.