Pullback From The All-Time High Continues

Gold is little changed in the Asia-Pac session, after closing 0.5% lower at $2019.36 on Tuesday.

• The firmer dollar weighed on precious metals, with spot gold extending the pullback from Monday’s fresh all-time high. Bullion has retraced some 5.5% since Monday’s intraday high of $2135.
• Tuesday’s softness came despite a decline in US Treasury yields following weaker-than-expected JOLTs job openings data. The decline in job openings was the biggest monthly drop since May 2023 and marked the lowest level since 2021. Moreover, the ratio of openings/unemployed dropped to 1.34, the lowest since August 2021. Lower rates tend to be positive for bullion, which doesn’t yield any interest.
• Later today the US calendar shows ADP private payrolls, ahead of Non-Farm Payrolls on Friday.
• While the overall price action signalled the potential for a climb towards 2177.58 next, a Fibonacci projection, recent price action conveys a short-term pullback, which should be considered corrective, according to MNI’s technicals team. Initial support is $2004.1, the 20-day EMA.