XAUUSD prices were largely unaffected last week despite the highest US inflation print in nearly 40 years. The consumer price index crossed the wires at 6.8%, matching analysts’ estimates. That is up from October’s 6.2% y/y figure.
Gold tumbled in late November when the Federal Reserve shifted to a more hawkish stance, and prices have since been contained to a tight range near 1780.
Gold traders are focusing their attention to the upcoming Federal Reserve interest rate decision due out Wednesday. While no change to the benchmark rate is expected, the Fed will update its policy statement as well as its summary of economic projections (SEP)
We expect the trend is going to continue the bearish momentum but always looking at the US FOMC decision for a new consensus.
Warning:
Trading on CFDs involves a high level of risk, including full loss of your trading funds. Before proceeding to trade, you must understand all risks involved and acknowledge your trading limits, bearing in mind the level of awareness in the financial markets, trading experience, economic capabilities and other aspects.
Disclaimer:
Market Trends, Charts, Trading Ideas or other information provided by BKFX (Pty) Ltd and/or third parties are not intended as an investment advice and/or recommendation. The information provided is not presented as suitable or based on your specific need. You are responsible for your own investment decisions and you should not trade with money you cannot afford to lose. Any views or opinions presented in this Article are solely those of the author and do not necessarily represent those of the Company, unless otherwise specifically stated. The Company may provide the general commentary which is not intended as an investment advice and must not be construed as such. Seek advice from a separate financial advisor if an investment advice is needed. The Company assumes no liability for errors, inaccuracies or omissions, inaccuracies or incompleteness of information, texts, graphics, links or other items contained within this article/material.