Gold had a good week last week and early this week

The world gold spot price is around the threshold of nearly 2,168 USD/ounce, a slight increase of nearly 3 USD/ounce compared to last week's closing session.

World gold prices had a good week of increases last week and early this week. Most investors predict that world gold prices will continue to increase in the next week, when the US Federal Reserve (Fed) has sent a message that it will reduce interest rates this year. The market predicts that the Fed will start reducing interest rates on the USD from next June.

However, experts say that the Fed will definitely consider carefully the disadvantages of lowering interest rates when the inflation rate is still higher than 3% today. Economic data still shows good signs of recovery despite high interest rates.

A few months before the last meeting, Fed Chairman Jerome Powell once said that when the Fed lowers interest rates, it must ensure sustainable inflation at the target level of 2%. Therefore, investors should be careful when buying gold at high prices.

Comment:

This week, the gold market will receive information on US new home sales on Monday (March 25), the Richmond Fed survey on Tuesday (March 26), information on number of mortgage applications on Wednesday (March 27) and GDP growth figures for the fourth quarter of 2023 (last published); number of people applying for unemployment benefits for the first time; Pending home sales and the University of Michigan's consumer confidence survey results on Thursday (March 28).

Comment:

Our data shows traders are now net-long Gold for the first time since Mar 01, 2024 when Gold traded near 2,082.75. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger Gold-bearish contrarian trading bias.

Comment:

Comment:

Meanwhile, the Bears' next near-term downside price objective is pushing futures prices below solid technical support at last week's low of $2,149.20 an ounce. First resistance was seen at the overnight high of $2,179.50 per ounce and then at the March 22 high of $2,188.00 per ounce.

Comment:

Yesterday, the financial market received more information about the US economy's mixed developments. Specifically, US CB consumer confidence decreased from 104.8 points in February to 104.7 points in March, much lower than the forecast of 106.9 points. Along with that, Richmond's manufacturing index in March also dropped sharply from minus 5 last month to minus 11.

Comment:

⭕️S&P 500 rises as it tries to snap 3-day slide, Dow jumps 200 points.

Comment:

Gold prices rose to a record high at the end of trading on Thursday, recording their best month in more than three years, driven by expectations of a cut in US interest rates and strong demand for safe havens.