Sunday, 27 July 2025
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
Gold price consolidates around $2,650 area as traders await FOMC Minutes
Wednesday, 8 January 2025 11:15 WIB | GOLD |GOLD

Gold price (XAU/USD) stabilizes following the previous day's late pullback from the $2,665 hurdle as traders opt to move to the sidelines ahead of Wednesday's release of the FOMC Minutes later during the US session. In the meantime, the prospects for slower rate cuts by the Federal Reserve (Fed) continue to push the US Treasury bond yields higher and act as a headwind for the non-yielding yellow metal. Apart from this, the underlying strong US Dollar (USD) bullish tone turns out to be another factor that contributes to capping the commodity.

The downside for the Gold price, however, remains cushioned in the wake of the uncertainty around US President-elect Donald Trump's tariff plans. Furthermore, expectations that Trump's protectionist policies could reignite inflation should benefit the bullion's status as a hedge against rising prices. This, along with trade war fears, geopolitical risks and the risk-off mood, should continue to offer some support to the safe-haven precious metal and warrants some caution before placing aggressive bets or positioning for a firm intraday direction.


The US Treasury bond yields and the US Dollar jumped on Tuesday after strong US data reaffirmed market expectations that the Federal Reserve will slow the pace of its rate-cutting cycle this year.
The Institute for Supply Management reported that its Non-Manufacturing Purchasing Managers' Index (PMI) rose to 54.1 in December and the Prices Paid component rose to a nearly two-year high.
Separately, the Job Openings and Labor Turnover Survey, or JOLTS report, showed that job openings unexpectedly increased to 8.098 million by the last day of November from the 7.839 million previous.


The data pointed to a still resilient US economy and support prospects for fewer Fed rate cuts in 2025, lifting the yield on the benchmark 10-year US government bond to its highest level since April.
Atlanta Fed President Raphael Bostic said that the central bank should be cautious with policy decisions amid the uneven progress on lowering inflation and err on the side of keeping rates elevated.
US President-elect Donald Trump denied a Washington Post story that his administration will pursue a less aggressive tariff regime and target certain sectors critical to US national or economic security.
Trump hinted at possible military intervention if Israeli captives held in Gaza are not released before he takes office, raising the risk of a further escalation of geopolitical tensions in the Middle East.


Traders now look to Wednesday's US economic docket – featuring the release of the ADP report on private-sector employment and the usual Weekly Initial Jobless Claims – for short-term opportunities.
The focus, however, remains on FOMC meeting Minutes, which will play a key role in influencing the USD price dynamics and providing a fresh impetus to the Gold price later during the US session.(Cay) Newsmaker23

Source: Fxstreet

RELATED NEWS
Gold Weakens As Dollar Strengthens, Trade Deal Hopes Reduce Safe-Haven Demand ...
Saturday, 26 July 2025 02:54 WIB

Gold prices weakened on Friday, weighed down by a stronger U.S. dollar and signs of progress in U.S.-EU trade negotiations, which have dampened demand for safe-haven assets. Spot gold fell 0.9% to $3...

Gold Weakens as Dollar Strengthens and Trade Deal Hopes Reduce Safe-Haven Demand ...
Friday, 25 July 2025 23:22 WIB

Gold prices weakened on Friday (July 25th), weighed down by a stronger US dollar and signs of progress in US-EU trade negotiations, which have reduced safe-haven demand. Spot gold fell 1% to $3,333.12...

Gold price selling bias remains unabated; looks to US data for a fresh impetus...
Friday, 25 July 2025 16:03 WIB

Gold price (XAU/USD) extends its steady intraday descent through the first half of the European session and drops to a fresh daily low, back closer to the $3,350 level in the last hour. Thursday's US ...

Gold subdued as trade optimism weighs, but soft dollar caps losses ...
Friday, 25 July 2025 13:06 WIB

Gold prices edged lower on Friday, as signs of progress in trade negotiations between the U.S. and its trading partners weighed on safe-haven demand, although an overall weaker dollar limited losses f...

Gold Holds Decline ...
Friday, 25 July 2025 09:07 WIB

Gold hovered around $3,360 per ounce on Friday, following two straight sessions of losses amid easing trade tensions and rising risk appetite. Investors continue to monitor progress in tariff negotiat...

LATEST NEWS
S&P 500 Hits Fifth Straight Record Close

The S&P 500 rose 0.4% on Friday (July 25), notching its fifth consecutive record close—its longest streak in more than a year—while the Nasdaq 100 gained 0.2% after hitting an intraday high. The Dow Jones Industrial Average gained 208 points as...

Oil Prices Plummet, Closing At Three-Week Low Amid US And China Economic Concerns

Oil prices weakened on Friday (July 25th) and closed at a three-week low as traders worried about negative economic news from the US and China and signs of increasing supply. The losses were limited by optimism that a US trade deal could boost...

Gold Weakens As Dollar Strengthens, Trade Deal Hopes Reduce Safe-Haven Demand

Gold prices weakened on Friday, weighed down by a stronger U.S. dollar and signs of progress in U.S.-EU trade negotiations, which have dampened demand for safe-haven assets. Spot gold fell 0.9% to $3,336.01 an ounce at 2:01 PM ET (18:01 GMT). U.S....

POPULAR NEWS
Indonesia Stocks Hit Near 9-Month High, Break 7,500
Thursday, 24 July 2025 15:19 WIB

Equities in Indonesia rose 64 points, or 0.9%, to 7,555 around noon on Thursday, gaining for a second straight session and supported primarily by...

European Central Bank set to pause interest rate cuts amid US-EU trade uncertainty
Thursday, 24 July 2025 18:08 WIB

The European Central Bank (ECB) is on track to leave its key interest rates unchanged after its July policy meeting, after having reduced rates at...

Japan's Topix hits record high as Asia-Pacific stocks climb on trade deal optimism
Thursday, 24 July 2025 07:36 WIB

Asia-Pacific markets opened higher as the latest trade developments between the U.S. and Japan, as well as positive signs for a deal with the...

United States Initial Jobless Claims
Thursday, 24 July 2025 19:53 WIB

Initial jobless claims in the US fell by 4,000 from the previous week to 217,000 in the third week of July, well under market expectations that they...