March 21, 2023 03:59 GMT
Bullion Stabilises Awaiting Wednesday’s FOMC Announcement
Gold has been trading in a $10 range today and is currently 0.3% higher after easing 0.5% on Monday, as fears of a banking crisis eased. It is around $1983.85/oz, close to the intraday high of $1985.22 following the $1975.49 low earlier. The USD index is up 0.1%.
- Bullion broke through the important $2000/oz level but couldn’t sustain it once Treasury yields rose again. This move strengthened the current uptrend though and opened $2034.
- Later ECB President Lagarde speaks and on the data front there are only Canadian CPI and US existing home sales for February. The focus of the week is Wednesday’s FOMC meeting. Currently a 25bp rate rise is expected by economists but there’s the possibility of a pause given recent banking troubles and this would be positive for gold prices.