Gold Prices Edge Down as US Dollar, Treasury Bond Yields Rise

Talking Points:

  • Gold prices decrease as Treasury bond yields, US Dollar rise
  • Crude oil prices shrug off API data, dump as greenback gains
  • EIA register report, risk ardour trends in concentration form here

Gold prices fell as US Treasury bond yields rose and a US Dollar followed. This undermined direct for non-interest-bearing and anti-fiat assets. Crude oil prices declined alongside a yellow metal, hinting that a pierce reduce substantially reflected de-facto offered vigour from a stronger greenback. Indeed, a WTI benchmark hardly budged as API reported that inventories strew 5.79 million barrels final week.

Looking ahead, it is another still day on a US information front. Still some-more commentary from Fed officials is approaching to tumble on deaf ears deliberation a rate travel subsequent month is already labelled in. That leaves bullion to a forgiveness of risk ardour and a impact on yields. Official EIA register information is approaching to uncover a 2.08 million tub drawdown. A incomparable outflow that falls closer in line with API’s guess might vigour wanton oil further.

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GOLD TECHNICAL ANALYSISGold prices continue to corner reduce though a transparent mangle of rhythm indicate support during 1218.90 stays elusive. A crack reliable on a daily shutting basement exposes a 38.2% Fibonacci enlargement during 1199.07. Alternatively, a annulment behind above support-turned-resistance during 1241.50 targets a 14.6% turn during 1258.62.

Gold Prices Edge Down as US Dollar, Treasury Bond Yields Rise

Chart combined regulating TradingView

CRUDE OIL TECHNICAL ANALYSISCrude oil prices continue to connect above a 61.8% Fibonacci retracementat 45.33. A daily tighten next that exposes a 76.4% levelat 43.00. Alternatively, a pierce behind above a 50% Fib during 47.22opens a doorway for a retest of 49.11 (38.2% retracement, trend line support-turned-resistance).

Gold Prices Edge Down as US Dollar, Treasury Bond Yields Rise

Chart combined regulating TradingView

— Written by Ilya Spivak, Currency Strategist for DailyFX.com

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