Strong Gain On After Weak US Data

Gold is little changed in the Asia-Pac session, following a notable +0.9% increase on Tuesday that propelled it to its highest point in three weeks.

• The surge in the precious metal can be directly attributed to the decline of the USD and a substantial drop in US treasury yields. These shifts were instigated by underwhelming consumer confidence and JOLTS data, which further substantiated the notion that the Federal Reserve is drawing closer to concluding its phase of monetary tightening.
• The Conference Board's report on consumer confidence revealed figures lower than anticipated, encompassing key labour market indicators. Notably, the disparity between the indices for "plentiful" jobs and "hard-to-get" jobs dwindled to its lowest level since the early months of 2021.
• JOLTS data unveiled a more significant decrease in job openings than expected, reaching a point that hasn't been witnessed in over two years. Job openings have experienced declines in six out of the last seven months. Furthermore, the rate of employees voluntarily leaving their jobs reverted to levels observed before the pandemic took hold.
• This valuable metal has successfully surpassed the 50-day EMA ($1930.4), subsequently ushering in the possibility of reaching $1946.8 (the high point from August 4), as suggested by MNI's team of technical experts.