Tuesday, February 27, 2024

Global gold prices rose to a three-week high in spot trading


Islam Saeed wrote

Thursday, December 28, 2023 at 12:51 pm

Recorded Gold price During today's session, Thursday's 3-week high, after four consecutive sessions of gains, gold saw declining support in levels against the US dollar, despite weak trading volumes and liquidity in the markets. Until the annual holiday season.

At the time of writing the Gold Billion Technical Report, spot gold was trading at $2073 per ounce, after hitting a 3-week high of $2088 per ounce, a 0.1% decline from these levels.

After it continued to rise for four consecutive sessions, gold managed to penetrate the trading volatility zone between $2000 – $2050 per ounce, closing yesterday's session above $2070 per ounce, but it should close today's trade. $2080 per ounce is the resistance level, so it can complete the rise towards $2080 per ounce. The $2100 level is an important resistance for the price.

Gold hit its all-time high of $2,148 an ounce in the first week of December before falling quickly, but the precious metal has held its trade above $2,000 an ounce for five consecutive weeks, adding to its upward momentum. Especially since the price has formed a price base that will help it continue to rise above $2000.

Gold was supported by a significant decline in the value of the US dollar. The dollar index fell today to hit a fresh 5-month low, registering a fifth straight session of decline. 0.8%, which was the third straight week of decline.

Negative pressure on the US dollar came as expectations grew that the Federal Reserve would start cutting interest rates as early as 2024 at its March meeting, following lower-than-expected US inflation data released last week, apart from a shrinking economy. Growth rate in the third quarter.

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On the other hand, the 10-year US Treasury yield rose 0.6% during today's session after hitting a fresh 5-month low of 3.783%, posting a 2% decline since the start of the week. On track to post a fifth straight week of decline. .

In another context, today the markets saw US jobless claims data, which is expected to rise to 211 thousand compared to 205 thousand previously. These data may contribute to the movement of the markets today, despite weak trading volumes. Financial markets this week due to holidays.

Gold has posted a more than 10% gain by the end of 2023, its best annual performance since 2020, supported by geopolitical developments and the US Federal Reserve's announcement that it will stop raising interest rates and its expectations of 75 basis points in 2024.

Nadia Barnett
Nadia Barnett
"Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator."

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