The price of gold is awaiting the new film from the USA to begin growth
Gold prices did not manage to develop the strength of the recovery. The attempts to grow the metal meets sales after two weeks of fall, nefelinovogo bullish spurt that we saw in early February amid a massive decline in world financial markets. After yesterday’s bounce quotes back on a growth trajectory, but the movements are too uncertain to be able to talk about further recovery.
The dollar does not show that short-term upside bias. Despite the interest for risk, the us currency remains under pressure, fearing that the Republicans will not be able to convince their leader to abandon the intention to introduce high import duties and thus to unleash a trade war. According to recent reports, trump has deferred a decision on the matter next week. The delay was perceived by the markets as a chance to change the President’s plan.
However, one should not discount the implementation of this idea, with no exceptions for individual countries. Fears of such a scenario are stored, which affects sentiment on the dollar.
Yesterday’s rollback of the yellow metal from one-week highs was caused rather by the desire of the players to record profits with an eye to the retreat of fears in the ranks of global investors. Today, efforts to revive growth constrains local resistance in the area 1325.50, blocking the way to the highs on 1327.70 made the day before. While gold is trading below this level in the short term downside risks will remain.
More steady climbing the metal will show if there is fresh negative signals from the trump, and the dollar will come back to the negative dynamics.