Gold: Rally Beyond $2,550 Hinges on Fuel From These 2 Catalysts

XAU/USD Nouvelles

Gold: Rally Beyond $2,550 Hinges on Fuel From These 2 Catalysts
Gold Futures
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Forex Analysis by Investing.com (Günay Caymaz) covering: XAU/USD, Gold Futures. Read Investing.com (Günay Caymaz)'s latest article on Investing.com

For less than $8 a month, InvestingPro's Fair Value tool helps you find which stocks to hold and which to dump at the click of a buttonprices rallied last week, buoyed by a dovish speech from Federal Reserve Chair Jerome Powell. While the metal's upward momentum has shown signs of slowing, it remains on a positive trajectory.a 25-basis-point rate cut in September, which could pose a short-term obstacle for the yellow metal as bulls desire a bigger interest rate cut.

Conversely, if the Fed opts for a smaller 25 basis point cut, gold could see a short-term decline in demand. A rise in geopolitical risks could drive gold prices sharply higher as investors seek refuge in the precious metal. Ongoing conflicts in the Middle East, if they escalate, could further boost gold’s demand.

This retreat comes amid partial stabilization in the dollar and bond yields. Investors are likely waiting for the upcoming U.S. growth and PCE data later this week to guide their positions.

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