Gold is approaching $4,000 again today after its worst October since 2008.
$XAUT is now at $4,041 per ounce, up 2.26% in a single session. The reason is simple: the US dollar weakened slightly, so investors returned to gold as a safe haven.
But what’s really driving the market is the peace talks between the US and Iran. Whenever the talks make progress, oil prices fall and inflation fears ease, giving XAU some relief. Whenever tensions rise, fear returns and gold climbs again.
Investors are watching three things next week: the outcome of the US midterm elections, the Fed’s December interest rate decision, and the course of negotiations with Iran.
$XAUT has lost 25% since February and is in an intriguing technical zone. The real question is: does breaking above $4,000 again signal a return to the uptrend? Or will a possible rate hike in December put pressure on it once more?
Just a personal opinion, not investment advice. Always do your own research.
$XAUT is now at $4,041 per ounce, up 2.26% in a single session. The reason is simple: the US dollar weakened slightly, so investors returned to gold as a safe haven.
But what’s really driving the market is the peace talks between the US and Iran. Whenever the talks make progress, oil prices fall and inflation fears ease, giving XAU some relief. Whenever tensions rise, fear returns and gold climbs again.
Investors are watching three things next week: the outcome of the US midterm elections, the Fed’s December interest rate decision, and the course of negotiations with Iran.
$XAUT has lost 25% since February and is in an intriguing technical zone. The real question is: does breaking above $4,000 again signal a return to the uptrend? Or will a possible rate hike in December put pressure on it once more?
Just a personal opinion, not investment advice. Always do your own research.
