Gold price failed to build on previous Friday’s gains and started the week on a bearish note. Disappointing data releases from China in the first half
of the week dragged XAU/USD to its lowest level in almost a month, and the pair struggled to regain traction despite softer-than-expected inflation data from the US. Next week, investors will pay close attention to Retail Sales data from China and the US ahead of the minutes of the Federal Reserve’s July policy meeting.Hawkish comments from Federal Reserve Governor Michelle Bowman triggered a rebound in US Treasury bond yields and caused Gold price to turn south on Monday.
The Consumer Price Index in China declined 0.3% on a yearly basis in July, data from the National Bureau of Statistics of China showed on Wednesday. With this reading highlighting the poor consumer activity, XAU/USD continued to push lower midweek and dropped below $1,920 for the first time in nearly a month.
On Thursday, data from the US Bureau of Labor Statistics showed that inflation in the US, as measured by the change in the Consumer Price Index , edged higher to 3.2% on a yearly basis in July from 3% in June. This print came in slightly below the marketof 3.3%. On a monthly basis, the CPI and the Core CPI – which strips volatile food and energy prices – both increased 0.2%, matching June readings and analysts’ estimates. The initial market reaction caused the US Dollar to lose strength.
In the absence of high-tier data releases in the second half of the week, the US Department of Labor’s weekly Initial Jobless Claims data could trigger a short-lasting reaction in XAU/USD. In the week ending August 5, the number of first time applications for unemployment benefits rose by 21,000 to 248,000. A similar increase could highlight loosening conditions in the US labor market and weigh on the USD.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Gold Price Outlook: Higher US Yields, Dollar Send Gold to 6-Week LowWith US 10-year treasury yields rising steadily and the dollar benefitting as a result, gold appears out of favour. Strong US data prolongs the need to keep rates elevated
Read more »
Gold Price Forecast: XAU/USD defends 200-day EMA amid risk-aversion, bearish bias remains💰 $XAUUSD consolidates its recent losses to the lowest level since July 7 🌐 China's economic woes and geopolitical risks support the metal 💵 Bets for one more rate hike by Fed underpin the $USD and cap the Gold Full forecast ⏩ Forex Commodities
Read more »
Gold Price Forecast: XAU/USD at risk of dropping below $1,900 if data remains steadfast – TDSGold has witnessed a cycle of sharp price declines. Economists at TD Securities analyze the yellow metal’s outlook. Fed Chair Powell will continue to
Read more »
Gold Price Forecast: XAU/USD continues bleed lower under the weight of the broad Dollar – TDSGold price prints a fresh five-week low amid strength in the US Dollar. Economists at TD Securities analyze XAU/USD outlook. Gold bulls will need disc
Read more »
Gold Price Forecast: XAU/USD extends slide towards $1,900Gold prices plunged on Monday as demand for the US Dollar picked up pace within a risk-averse environment. Investors kick-started the week looking at
Read more »
Gold Price Forecast: XAU/USD hangs near multi-week low, just above $1,900 markGold price struggles to gain any meaningful traction during the Asian session on Tuesday and languishes near its lowest level since June 6 touched the
Read more »