Potential higher interest rates and a reduction in liquidity through a higher IOER (although the increase is only symbolic) is slightly negative news for gold, at least in the very short term. For several minutes, gold lost 1.5%. It can be seen that the failure to establish a new peak on June 11 led to a stronger downward move, which is now continued and price broke below the 23.6 Fibonacci retracement of the last upward wave. The nearest support is located near the 38.2 retracement, while the key support can be found at 1,795 per ounce.
GOLD, H1 interval. Source: xStation5
Daily summary: AI slowdown does not slow the rise in yields
Market Wrap: European Stocks in the Red. AI Sinks, Oil Surges
Oil back above $100
Morning Wrap: A gloomy start to the week amid rising oil prices and turmoil surrounding OpenAI 🚨