Gold finds strong support

23 August, 2017

US President Donald Trump’s rhetoric has once again underpinned the gold price after he threatened to shut down the government at a rally in Arizona if he does not get the funding to build a wall between the US and Mexico, which was one of his campaign, promises.

"If we have to close down our government, we're building that wall," Trump told his supporters in Arizona.

As a result, gold pushed higher at the expense of the US dollar which was quickly sold off.

"It's clearly concerning if he wants to tie the wall to the government shutdown. That's certainly an issue and that's an issue for the dollar," Chris Watling, CEO of Longview Economics

On the chart, we can see that gold has been stuck in a tight trading range for the past five sessions with good support at the $1,282 level.

The highlight for gold this week and the potential  catalyst for a break above the strong resistance level of  $1,291  will be the central bankers meeting held over 4 days beginning on Thursday in Jackson Hole, Wyoming

The range of speakers speakers from around the world include Fed Chairwoman  Janet Yellen and European Central Bank President Mario Draghi who will lay out their economic policies.

Over the years, the gatherings at Jackson Hole have moved financial markets significantly including the gold price and this time should be no different if Yellen comes out with a dovish approach on the US economy and it maybe just what gold needs to push higher.


Source link  
Oil surges on conflict concerns

The oil price has continued to rise in today’s trading session after yesterday’s gains on the back of attacks on two oil tankers in the Gulf of Oman...

Gold need to hold this level

The gold price is now trading at its lowest level since the start of the year and is now consolidating around the $1275 mark and according to one...

Gold faces key moment

The gold price has remained above the $1300 mark in today's trading session after breaking this important level yesterday and today's outcome...


US dollar down on dovish Fed

As predicted yesterday, the Fed kept interest rates on hold but the following monetary statement was much more dovish than analysts had predicted...

Gold needs some big news

The gold price is under further pressure in today's trading session as investors ponder the chances of another rate hike from the US Federal Reserve after the release...

Good news for the precious metal

Gold just got another reason to cheer after the latst minutes meeting from the US Federal reserve where the tone left many analysts predicting that...


Gold to stay above $1300

The gold price has recovered strongly over the past 3 trading sessions after coming perilously close to touching the $1300 mark and...

Oil price hinges on trade talks

Oil is down once again in today's trading session as investors and the market alike remain divided on the future direction of the price with a lot...

Oil needs Opec cuts

The latest tumble in the oil price has now reached gigantic levels, almost equaling the declines reached during the global financial crisis and according to some analysts, we may...

  


Share it on:   or