On this day, the US Senate passed President Trump’s large tax cut plan. This made people worry about a bigger budget deficit, so many investors bought gold as a safe investment. Also, at the EU Forum, Federal Reserve Chairman Powell did not deny the possibility of a rate cut in July. This made people expect a rate cut soon, which also pushed up gold prices.
However, the NY Dow Jones stock index kept rising, and geopolitical risks became smaller. This gave people a sense of relief, and the market started to feel safer. Because of this, the gold price increase might only be temporary as investors move toward taking more risks.
Please be careful of possible price drops before the US jobs report at the end of the week.
Gold/USD Expected Price Range: 3,330 -3,370
Note: The information above does not guarantee any profit. Please make your own decisions when trading.