FX.co ★ Death-X-PK | XAU/USD, GOLD

XAUUSD M-30 Time Frame During Wednesdays early Asian session, the gold price (XAU/USD) is under selling pressure near $5,100. The precious metal declines amid increasing US dollar (USD) demand and dwindling hopes for US interest rate decreases. The US ISM Services Purchasing Managers Index (PMI) report will be released later on Wednesday. Inflation concerns are emerging as oil prices climb, reducing the chance of a Federal Reserve (Fed) interest rate drop. The dollar surged to a three-month high, making USD-denominated gold more expensive for international buyers. Markets expect the US central bank to keep interest rates constant until the summer, despite US President Donald Trumps calls for lower rates.

fell sharply as markets focused on the Middle East conflict. Oil prices rose 7% after Iran targeted various oil sites and closed the Strait of Hormuz. The massive surge in the oil markets prompted a global market sell-off. The United States and Israel caused enormous damage to Iran but could not secure a swift triumph. Markets have begun to brace for a prolonged fight. Earlier, President Trump stated that the operation against Iran could take 4-5 weeks. Yesterday, gold profited from its status as a traditional safe-haven asset. Today, this job did not offer any assistance. Traders sold everything in order to raise funds. The US dollar reached new highs against a broad basket of currencies. Traders flocked to the protection of the US dollar, which was negative for gold and other precious metals. Treasury yields, which are the interest rates on U.S. government debt securities, have also risen, providing an extra adverse impetus for gold markets. Currently, gold is attempting to settle below the support level of $5100-5120. If this attempt is successful, gold will advance to the next support level, which is between $4880 and $4900. The RSI is in the moderate range; therefore, there is plenty of space to develop momentum in the near future.