Gold prices fluctuated in a narrow range tilted towards the decline during the Asian session to reflect the resumption of its rebound from its highest since April 14, when it tested its highest since the fifth of October 2012, condoning the decline of the US dollar index for the fourth consecutive session, explaining the lowest for it Since March 30, according to the inverse relationship between them.
This comes on the cusp of developments and economic data expected today by the US economy, which includes the participation of Federal Reserve Governor Jerome Powell in a virtual panel discussion at the Griswold Center for Economic Policy Studies at Princeton University in New Jersey and the press conference of US President Donald Trump on China in Washington.
At exactly 04:21 am GMT, gold futures contracts for next August delivery decreased 0.01% to trade at $ 1,732.60 per ounce compared to the opening at $ 1,732.70 per ounce, knowing that the contracts started the trading session on an upward price gap after it concluded trading Yesterday at $ 1,728.30 an ounce, while the US dollar index fell 0.15% to 98.35 compared to the opening at 98.50.
Investors are currently awaiting by the US economy, the largest economy in the world, to disclose spending and personal income data, which may reflect the widening decline in personal spending to 12.6% compared to 7.5% last March, and the expansion of personal income to 7.0% compared to 2.0% in March March, as the reading of the core personal consumption expenditures price index may explain the decline to 0.3% compared to 0.1% in March.
This comes in conjunction with the release of the merchandise trade balance index, which may explain the widening of the deficit to $ 64.8 billion compared to $ 64.2 billion in March, in conjunction with the release of the initial reading of the wholesale inventory index, which may reflect a decline in the decline to 0.5% compared to 0.8% In March, before the Chicago PMI reading was revealed, which may reflect a contraction of 40.1 versus 35.4 in April.
Up to the disclosure of the final reading of the University of Michigan's index of consumer confidence, which may show the stability of the expansion at a value of 73.7, little changed from what it was in the preliminary reading of the previous month and against 71.8 in April, and this comes before the expected speech of the Federal Reserve Governor Jerome Powell and the US President Donald Trump's press conference on China, the world's second-largest economy.
The price of gold begins today's trading with an upward tendency to approach the resistance of the descending sub-channel, which is now down to 1725.00, and the price needs to get a positive incentive that contributes to pushing trades to breach the mentioned level and open the way for the resumption of the main bullish trend, whose following targets are located at 1764.00 then 1810.00.
In general, we will continue to favor the bullish trend for the next period unless the level of 1691.10 is broken and stability below it, as breaking it will put the price under more downside corrective pressure whose next target is located at 1646.00.
The expected trading range for today is between 1700.00 support and 1750.00 resistance.
Expected trend for today: bullish.