The post Gold price consolidates below all-time peak, awaits Fed Chair Powell’s speech appeared on BitcoinEthereumNews.com.

Gold price remains confined in a narrow trading band, though the downside remains cushioned. Bets for another 50 bps Fed rate cut in November cap the USD and offer support for XAU/USD. Geopolitical tensions further act as a tailwind ahead of speeches by influential FOMC members.  Gold price (XAU/USD) extends its sideways consolidative price move for the second straight day on Thursday and remains well within striking distance of the record high touched the previous day. Traders opt to move to the sidelines ahead of Federal Reserve (Fed) Chair Jerome Powell’s speech later today, which will be looked upon for cues about the pace of interest rate cuts going forward. This, in turn, will play a key role in determining the next leg of a directional move for the non-yielding yellow metal.  In the meantime, bets for another oversized interest rate cut by the US central bank fail to assist the US Dollar (USD) to capitalize on the previous day’s solid recovery from the vicinity of the YTD low. Apart from this, rising tensions in the Middle East and concerns over China’s economic recovery, despite the latest stimulus plans, act as a tailwind for the safe-haven Gold price. That said, slightly overbought conditions on the daily chart warrant caution before positioning for any further appreciating move.  Daily Digest Market Movers: Gold price bulls await Fed Chair Jerome Powell’s speech before placing fresh bets The US Dollar struggles to build on Wednesday’s strong recovery gains amid dovish Federal Reserve expectations, which, in turn, continues to lend some support to the non-yielding Gold price.  Several Fed officials this week tried to push back against bets for a more aggressive easing, though the markets are pricing in a greater chance of a 50 basis points rate cut in November.  Hence, Fed Chair Jerome…

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Filed under: News - @ September 26, 2024 2:22 am