Gold Price Peak Risk Looms: Is Your Gold Safe?

However, as conflicts in the Middle East continue, buying on the dip and safe-haven demand are expected to support gold prices in the short term, potentially limiting the downside for gold prices.

Gold is seen as a hedge against political and economic uncertainty, and it has risen by more than 31% this year, repeatedly hitting record highs. The Federal Reserve's interest rate cut last month, coupled with safe-haven demand, created a perfect storm for gold. Precious metals.

The senior market strategist said, "There has been some profit-taking, and U.S. bond yields are rising. Considering the direction of yields, it will be difficult for gold prices to go higher."

However, it added that, driven by safe-haven demand, gold prices could reach $2,800 per ounce by the end of this week.

The U.S. Dollar Index rose by 0.4%, approaching a three-month high, reducing the appeal of gold to holders of other currencies, while U.S. Treasury yields once again touched a three-month high.

Today's trading session will see the release of October PMI data from Europe and the United States, which investors need to pay attention to. In addition, they need to monitor changes in the number of U.S. jobless claims. Continue to follow news related to geopolitical situations.

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Federal Reserve Beige Book: U.S. businesses report stable economy but declining profit margins, concerned about election uncertainty

From September to early October, there was little change in U.S. economic activity, with a slight increase in hiring, continuing the recent trend and reinforcing expectations that the Federal Reserve will opt for a smaller rate cut of 25 basis points in two weeks.

Gold rose first and then closed lower. After a gap-up opening, it fell back and closed at a low, ending the day with a small bearish candlestick. It touched a high of 2758.60, basically in line with yesterday's high expectations, with new highs in the Asian market and a pullback in the European and American markets. The main reason is that this was the case at the beginning of the week. Closing high on the weekend, the next day's opening will continue to strengthen. Yesterday's reversal and lower close broke the trend of continuous new highs and low closing prices. Today's opening continues to pull back, and the daily line will shift to a volatile trend, stepping up and stepping down. Today, continue to pull back first, then start to stabilize, and touch high again.