A Surprisingly Large Gain On Tuesday

Gold is slightly weaker (-0.1%) in the Asia-Pac session, after closing +1.2% at $1978.72 on Tuesday.

• Industrial production and retail sales fell short of estimates, but there were indications of a more resilient consumer based on an underlying measure of household spending.
• Gold has been buoyed recently by emerging signs of slowing price increases, leading traders to speculate about when the Federal Reserve will halt its interest rate hikes, despite policymakers maintaining a hawkish stance.
• Bullion demonstrated an unexpectedly significant gain on Tuesday despite an intraday rise in the USD index, with yields showing relatively little change on the day.
• Some technical factors could have been at play, clearing resistance at $1968.0 (Jun 16 high) to open key resistance at $1985.3 (May 24 high).