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fxAug 5, 2026, 9:41 AM

Gold Climbs to Weekly Highs as Dollar Softens, Rate Hike Bets Cool

Gold prices surged to fresh weekly highs, breaking above a triangle formation, as a softer US dollar and weak US data dampened expectations for further Fed rate hikes.

XAUUSD

Gold's recovery accelerated on Wednesday, pushing XAU/USD past the upper boundary of a triangle pattern to reach new weekly highs.

The move was fueled by a weaker US dollar, which came under pressure as declining oil prices and lackluster US macroeconomic data reduced market conviction in additional Federal Reserve rate hikes.

A confirmed break above the triangle resistance could signal a shift in near-term momentum, with traders eyeing the next technical levels.

Source: FXStreet Forex News