- Gold holds onto recovery gains as China’s Global Times magnifies the rift between the US and Beijing.
- Fears of hard Brexit and downbeat US data also contribute to the yellow metal’s safe-haven demand.
- An absence of major market drivers will focus on the trade/political headlines for direction.
Gold takes the bids to $1,489.12, after touching $1,490, while heading into the European open on Tuesday. The Bullion recently benefited from the worrisome headlines from China’s Global Times while down US data and risk of hard Brexit helped the prices earlier.
Be it denying the tariff relief as the victory of the US trade war or suggestions by Beijing’s top diplomat to the US to work with China, Global Times entertained market players in an otherwise inactive Asian session around the year-end holidays. The recently released news that conveys China’s strong dissatisfaction with the US over various issues could be considered boosting the risk aversion.
Amid the market’s rush for risk-safety, trade-positive news that the recent phase-one deal will help forex market balance seems largely ignored.
As a result, the US 10-year treasury yields weaken to 1.92% whereas S&P 500 Futures stay unchanged at 3,227 by the press time.
The yellow metal earlier took advantage of the downbeat US statistics and fears of a hard Brexit. Comments from the US President Donald Trump that the US-China are near to signing to phase-one and China’s tariff relief fail to please risk-takers on Monday.
Moving on, investors will now focus on the trade/political headlines, coupled with the US Richmond Fed Manufacturing Index for December, for fresh impulse. Forecasts suggest the second-tier activity gauge rise to 9 from -1 prior.
Unless providing a daily closing beyond $1,490, prices are less likely to continue rising, which in turn highlights the 21-Day Simple Moving Average (DMA), at $1,471 now, as immediate support.
Additional important levels
|Today last price||1489.18|
|Today Daily Change||3.32|
|Today Daily Change %||0.22%|
|Today daily open||1485.86|
|Previous Daily High||1486.11|
|Previous Daily Low||1477.55|
|Previous Weekly High||1481.7|
|Previous Weekly Low||1470.7|
|Previous Monthly High||1515.38|
|Previous Monthly Low||1445.8|
|Daily Fibonacci 38.2%||1482.84|
|Daily Fibonacci 61.8%||1480.82|
|Daily Pivot Point S1||1480.23|
|Daily Pivot Point S2||1474.61|
|Daily Pivot Point S3||1471.67|
|Daily Pivot Point R1||1488.79|
|Daily Pivot Point R2||1491.73|
|Daily Pivot Point R3||1497.35|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.