Free Trial

Pullback From The All-Time High Continues

GOLD

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.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.