Explore Today’s Gold Price in 2023, influenced by the Federal Reserve’s sentiment. Stay informed on the dynamic interplay between gold values and the Fed’s stance, guiding your investment decisions with timely market insights. xt
Gold prices are at risk of continuing their weakness in today’s trading, Monday (11/13/2023), after falling more than 1% in trading at the end of last week, due to reduced safe-haven demand while the hawkish stance of Federal Reserve Chair Jerome Powell adds to its decline.
The most active gold contract for December delivery on the Comex division of the New York Mercantile Exchange on Friday (10/11) closed down US$32.1 or 1.63% to US$1,937.7 per ounce. And it fell more than 2.8% in its worst week in six.
Meanwhile palladium fell to a five-year low of below US$1,000 an ounce, accelerating a decline fueled by
expectations of a surplus due to the rapid spread of electric vehicles and automakers opting for cheaper platinum for their autocatalysts.
The Monex Investindo Futres Analyst Team said that the downward trend in gold continues to reach its lowest level in the last three weeks.
On the 1 hour chart, Gold is seen moving in a bearish channel since November 3, an indication of the continuation of the downward trend.
Gold is also still below the Moving Average (MA) 20 (red line) and MA 50 (blue line) so the pressure is still quite strong.
”Meanwhile, if you look at the 15-minute chart, Stochastic has entered the overbought area with the indicator lines having crossed. This could be a signal of decline. As long as it is stuck below the resistance of US$ 1,946, gold has the potential to fall to US$ 1,934 per troy ounces,”
On Thursday last week, Powell said the Fed was still not “sure” what it had done could reduce inflation,
and emphasized that it would raise interest rates again if necessary.
As a result, continued Monex, gold prices continued to decline until they reached their lowest level in the last three weeks.