Gold Forecast: Will US Nonfarm Payrolls drive XAU/USD to fresh record highs?

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Gold Forecast: Will US Nonfarm Payrolls drive XAU/USD to fresh record highs?
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Gold price is extending its consolidative phase below the key $2,670 static resistance for the third straight day.

Gold price extends a side trend below the key $2,670 resistance amid the Israel-Iran conflict. The US Dollar eases off six-week highs, as traders reposition ahead of the Nonfarm Payrolls data. Gold price stays above all key daily averages and the RSI hangs in the bullish zone, pointing to a fresh upside. Gold traders look forward to the high-impact US Nonfarm Payrolls . data for the next push higher, as the Middle East geopolitical escalation persists.

An upside surprise to the headline NFP figure and the wage inflation data could bolster bets for a 25 bps Fed rate cut in November, adding extra legs to the US Dollar recovery at the expense of Gold price. In contrast, a big disappointment could revive expectations that the Fed would opt for an outsized rate reduction at its next meeting, smashing the USD across the board. In such a case, Gold price could jump back toward the record high of $2,686.

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