Gold (GOLD) is experiencing a 1.5% decline today, driven by profit-taking pressure and a decrease in U.S. Treasury yields. Additionally, anticipated peace talks related to Ukraine appear to be exerting some pressure on the precious metal. Since the beginning of this year, gold has seen a dynamic rise, supported by investor concerns about the future of the U.S. economy, increasing uncertainty related to tariffs proposed by Trump that could lead to a trade war, as well as prospects of strengthening inflation in the U.S.
Yields on 10-year U.S. Treasuries have retreated today by over 5 basis points to 4.47%, whereas at the beginning of the week they reached 4.65%. Short-term yields have also fallen by over 5 basis points to 4.25%. U.S. retail sales data for January surprised with an unexpected decline of -0.9% m/m, while markets expected a 0.2% pullback compared to the December 2024. In the previous month, the m/m increase was 0.7%.
GOLD (H1 interval)
Looking at the hourly interval, we see that the price is testing the EMA200 (red line), but the technical situation indicates a decisive advantage for the supply side, with a potential double top formation at the $2,930 per ounce level. The next levels that gold may test are $2,820 per ounce, where we see previous price reactions and the 38.2% Fibonacci retracement of the upward wave from January.
Source: xStation5
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