
Gold, silver shrug off a brutal macro stress test
A hawkish Fed, surging short-dated Treasury yields and a firmer dollar failed to deliver the kind of damage usually seen in precious metals.
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A hawkish Fed, surging short-dated Treasury yields and a firmer dollar failed to deliver the kind of damage usually seen in precious metals.

Gold is attempting to stabilize near a pivotal technical zone, with the Fed decision poised to provide the catalyst for the next major move.

WTI crude oil holds above $100, but bearish price action near resistance suggests the powerful rally may be losing momentum.

As the trading week comes to an end, one of the most relevant developments has been the neutral behavior displayed by gold in the short term. Over the last four trading sessions, price action has registered only a modest move of around -0.36%, a dynamic that highlights the recent lack of momentum around the metal.

Gold is attempting to regain its footing after a sharp pullback, with the September range taking shape ahead of a critical stretch of event risk.

During recent trading sessions, a new wave of buying momentum has continued to gain relevance around WTI crude oil price action. Over the last three trading sessions, the market has maintained a bullish streak and is now up more than 5.5%, highlighting significant buying pressure in the short term.

The trading week is getting underway and, for now, gold has struggled to maintain the strength that characterized its performance in previous weeks. Average price action over the last two sessions shows a decline of roughly 1.5%, reflecting a loss of momentum that has started to highlight a more neutral market environment.

Gold has reversed sharply into major support, with a decline of nearly 9% setting up the first meaningful test of the August breakout.

Gold holds support at its 200-day EMA as futures positioning and options sentiment point to persistent dip-buying interest ahead of NFP.

The last two trading sessions have been particularly important for gold's price action in the short term. XAU/USD has gained more than 3.7% during this period, once again highlighting a meaningful bullish bias around the precious metal.

Sr. Technical Strategist Michael Boutros highlights the levels that matter on the Euro, Aussie and Gold this week.

Gold's price action has changed notably during the week. Over the last four trading sessions, the precious metal has advanced only slightly more than 1%, highlighting a clear slowdown around the $4,600 per ounce area.

Gold has pulled back from resistance after sticky PCE data, with month-end flows and Jackson Hole now shaping the near-term outlook.