"Gold eased on Wednesday as profit-taking took hold. The market retreated after recording strong gains during the beginning of the week in reaction to geopolitical uncertainty and economic data weakness. The market could come under pressure due to the seemingly controlled tensions in Latin America, although risks and uncertainty remain. However, the broader outlook for gold remains constructive. Persistent geopolitical tensions in other parts of the world continue to underpin demand for the metal."
"Tensions in Eastern Europe persisted, dampening hopes for a near-term ceasefire. Rising frictions between China and Japan remained elevated. US rhetoric over Greenland could also fuel markets' concerns, on the back of rising tensions among NATO members. On the macroeconomic front, attention is now on key US labour market data, including the December jobs report, which could provide fresh insight into the next steps for the Federal Reserve's monetary policy outlook."
Gold eased as profit-taking followed early-week gains driven by geopolitical uncertainty and weak economic data. The market may face pressure from seemingly controlled tensions in Latin America, although risks and uncertainty persist. The broader outlook for gold remains constructive because persistent geopolitical tensions in other regions continue to underpin demand. Tensions in Eastern Europe, rising frictions between China and Japan, and US rhetoric over Greenland add to market concerns. Attention is on US labour market data, including the December jobs report, which could influence the Federal Reserve's policy outlook. Markets price two rate cuts this year; weaker data would favour gold.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]