During the New York session yesterday, strong results were released for the U.S. JOLTs Job Openings and ISM Non-Manufacturing PMI. These reports were better than expected, causing U.S. long-term interest rates to rise. Gold, which had climbed to 2638 in the European market, dropped to 2612. Since it failed to break above the previous day’s high, the short-term upside seems limited for now.
However, President-elect Trump mentioned that ‘interest rates are too high.’ If this influences future Federal Reserve policies, it could lead to lower interest rates, which may support gold buying.
Still, U.S. long-term interest rates have risen to their highest levels since April last year. This strong interest rate trend is likely to keep gold’s price capped for the time being.
Gold/Dollar Expected Range: 2640–2600
Note: The above information is not a guarantee of profits. Please make your own decisions when trading.