Gold Wavers Around $4,100 as Bearish Trend Persists
Gold trades near $4,100, nursing minor losses as the bearish trend remains intact. The metal is on track for a 1.6% weekly decline, pressured by renewed hostilities in Iran that boosted oil prices and raised expectations of central bank rate hikes.
XAU/USD is hovering around $4,100, with price action confined to Thursday's trading range. The precious metal is set for a weekly depreciation of 1.6% as bearish momentum continues to dominate.
The decline is attributed to the resumption of hostilities in Iran, which pushed oil prices higher. Rising oil costs are fueling inflation concerns, prompting central banks to consider further interest rate hikes. Higher rates typically weigh on gold, a non-yielding asset.
Traders are monitoring these macro developments closely, as the $4,100 level serves as a near-term pivot. A break below could accelerate selling pressure, while a bounce might offer temporary relief before the next move.
Source: FXStreet Forex News