Gold prices move above $2,300/OZ amid uncertainty about the timing of the Fed's rate cut
![Gold prices move above $2,300/OZ amid uncertainty about the timing of the Fed's rate cut](https://www.atpremier.com/uploads/articles_uploads/_ _سعر_الذهب_يستقر_قبيل_بيانات_النفقات_الاستهلاكية_الشخصية_الأساسية_في_الولايات_المتحدة1067.jpg)
Gold prices fell in the Asian session on Tuesday, sticking to a cross-trading scope near the levels of $2,300. This is due to the last power of the US dollar, waiting for the main inflation data this week.
- Gold decreased by 0.4 % to $2,325.56 an ounce, while gold futures decreased by 0.3 % to $ 2337.35 an ounce. There is still a state of uncertainty that the market corridors have been marked by the timing of US interest rates this year.
- Inflation data for May showed that price pressures are still relatively strong. The reading of the strong purchasing managers index also sparked out of the month of June that the force in the U.S. economy may keep interest rates high for a longer period.
- The focus this week is directly on the data of the Personal Consumption Expenses Index, which is the preferred inflation scale of the Federal Reserve. Reading is issued on Friday and it is widely expected to show a slowdown of inflation slightly, but it remains much higher than the annual goal of the central bank of 2 %.
- High interest rates are a negative scenario for gold, as they increase the opportunity cost of investing in non-yielding assets.
- Other precious metals remained mixed on Tuesday but were also within the recently defined trading ranges. Platinum futures rose 0.4% to $1,016.55 an ounce, while silver futures fell 0.1% to $29.817 an ounce.
Gold's Technical Analysis
Gold prices are moving relatively calmly, and the yellow metal is still moving in a descending price channel on the daily timeframe. The continuation of gold prices above the levels of $2,324 may push gold to touch the levels of $2,350 first goal and then the level of $2,385 second goal.
Alternative scenario, if gold succeeds in breaking out the support level of $2,323 may decline to the level of $2,316 and then levels of $2,285 per ounce as a second target.
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