XAU/USD Climbs To A Six-Month Highs Near $2,015 On The USD Weakness, Eyes On The US Data -

XAU/USD Climbs To A Six-Month Highs Near $2,015 On The USD Weakness, Eyes On The US Data

Nov 27, 2023Jeremy ParkinsonFinance0

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Gold price surges to a six-month high around $2,015 in the early Tuesday trading session.

The October New Home Sales fell by 5.6% MoM to 679k, below the market expectation.

The expectation of lower inflation weighs on the USD and increases investors’ appetite for commodities.

US Housing Price Index, the S&P/Case-Shiller Home Price Indices, and CB Consumer Confidence will be due on Tuesday.

Gold price (XAU/USD) extends the rally above the $2,000 key level during the early Asian trading hours on Tuesday. The yellow metal climbs to a six-month high amid the softer US Dollar (USD) and the lower US Treasury bond yields. Gold price currently trades near $2,015, losing 0.01% on the day.

Meanwhile, the US Dollar Index (DXY) declined to the lowest level since late August around 103.20, which lifts the USD-denominated gold. The Treasury yields edge lower, the 10-year dropping from 4.51% to 4.39%.

That being said, the softer US data dragged the Greenback lower. The US Census Bureau revealed on Monday that the October New Home Sales fell by 5.6% m/m to 679k, below the market consensus of 725K. Additionally, the Dallas Fed Manufacturing Index for November declined to -19.9 from the previous reading of -19.2.

Furthermore, the expectation of lower inflation weighs on the USD and increases investors’ appetite for commodities. Last week, the US PMI data suggested that the private sector in the US continued to grow at a slower pace in early November. The markets place a bet that the Federal Reserve (Fed) will cut interest rates in the middle of next year.

China will release the NBS Purchasing Managers Index (PMI) data on Thursday. The Manufacturing and Services PMI figures are expected to improve to 49.6 and 51.1, respectively. If the report shows the weaker-than-expected result, this could exert some selling pressure on the precious metal as China is the world’s largest gold producer and consumer

Moving on, gold traders will focus on the US Housing Price Index, the S&P/Case-Shiller Home Price Indices, CB Consumer Confidence, and the Richmond Fed Manufacturing Index on Tuesday. Later this week, the attention will shift to the US Gross Domestic Product (GDP) on Wednesday and the Personal Consumption Expenditure (PCE) inflation figures on Thursday.
XAU/USD

OVERVIEW Today last price 2014.3 Today Daily Change 11.95 Today Daily Change % 0.60 Today daily open 2002.35

TRENDS Daily SMA20 1976.13 Daily SMA50 1935.04 Daily SMA100 1933.44 Daily SMA200 1940.71

LEVELS Previous Daily High 2003.64 Previous Daily Low 1991.53 Previous Weekly High 2007.63 Previous Weekly Low 1965.51 Previous Monthly High 2009.49 Previous Monthly Low 1810.51 Daily Fibonacci 38.2% 1999.01 Daily Fibonacci 61.8% 1996.16 Daily Pivot Point S1 1994.71 Daily Pivot Point S2 1987.06 Daily Pivot Point S3 1982.6 Daily Pivot Point R1 2006.82 Daily Pivot Point R2 2011.28 Daily Pivot Point R3 2018.93

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