Gold rose by 0.18% today – Century Financial

• Crude Oil

WTI crude oil futures extended its recent decline toward $66 per barrel on Wednesday, pressured by prospects of increased Russian supply.This follows President Putin’s agreement to halt attacks on Ukrainian energy sites while rejecting a 30-day ceasefire.

The potential lifting of Russian sanctions added to concerns over a surplus, as OPEC and its allies plan to boost production next month.Additional downside risks stem from shifting global trade, which could dampen growth and weaken consumption.

Signs of slowing demand emerged after industry data showed a larger-than-expected build in crude stocks last week. However, heightened violence in the Middle East, threatening supply disruptions from key oil-producing regions, helped cushion some losses.GoldGold rose by 0.18% today and is currently trading at 3040. From a technical standpoint, the yellow metal is retesting its breakout at the 3035-3037 level, supporting the bullish stance from an intraday standpoint. It must be noted that on the weekly chart, the metal has broken out of the resistance of the upward-trending channel, reiterating the bullish bias. On the hourly chart, the 9 and 21-period EMAs are at 3037.5 and 3031.5. The metal has support and resistance at the levels of 3035 and 3055.

From a fundamental standpoint, yesterday’s geopolitical tensions pertaining to the IDF’s comments continue to support the yellow metal. Looking ahead, the main event for the day is the FOMC decision. According to CME’s Fed watch tool, the probability of the interest rate remaining at the current levels is 99%; hence, the focus will be on Fed Chair Jerome’s remarks.

Gold prices in the UAE today are as follows:
24 Carat – AED 366.00
22 Carat – AED 338.75
21 Carat – AED 324.75
18 Carat – AED 278.50

• Global Markets

US Markets
The SPX fell 1.07% on yesterday’s session as investors saw the market sell off come back in full force following two winning sessions. Communication services posted the steepest decline among sectors, while energy and health care were the sole gainers. The Fed is widely expected to keep rates unchanged, and traders are keeping a close eye on the central bank’s forecast for rate policy. Central bankers will be sharing their quarterly updates on rate expectations, as well as their outlook for gross domestic product, inflation and unemployment. On the daily chart, SPX is trading around the 9-day SMA and could see potential support at $5,597 and potential resistance at $5,667.

US Dollar Index
The US Dollar Index (DXY), which measures the USD against a basket of six major currencies, hovers around 103.56 in the early trading session, gaining 0.30%. Investors are preparing for the Federal Reserve’s (Fed) interest rate decision later today, which is widely expected to remain unchanged. However, all eyes will closely monitor the Fed’s new economic projections for insights into how policymakers perceive the potential impact of US President Donald Trump’s policies. Technically, the DXY is still trading in a narrow range, below the 9-day SMA. However, RSI on the daily just crossed over the over-sold zone indicating a potential positive bias. The critical level to watch is 102.00, a psychological level and the lower boundary of the Bollinger Band acting as a potential support. Meanwhile, resistance can be seen near the 20-day SMA at 105.116.
Crude Oil
Oil fell for a second day on Tuesday as US crude stockpiles increased, and investors worried about the impact of trade tensions as the Trump administration presses home its agenda.The American Petroleum Institute said nationwide inventories rose by 4.6 million barrels last week, signalling weaker demand, although a draw was seen at the key hub in Cushing, Oklahoma. Official data is due later on Wednesday.Today, investors will focus on the Federal Reserve interest-rate decision, and comments from Chair Jerome Powell on the outlook of the economy as Donald Trump ramps up his trade war. Overall, there’s been a risk-off sentiment in the markets recently amid concerns about a recession, with a drastic selloff in equities.
Geopolitical concerns in the Middle East and Russia-Ukraine remain in focus which could provide some support to oil prices. On one side, Trump has urged Iran to control the Houthis, holding Tehran responsible for their attacks. Meanwhile, Putin has rejected Trump’s request for a ceasefire in Ukraine but agreed to reduce strikes on its energy infrastructure.
West Texas Intermediate is currently trading near $66.6, just below the 9 SMA on the daily chart. Support is seen at the $66.2 level, with resistance at $67.7 on the 4-hour chart. Brent is currently trading near $70.6 a barrel, below the 9 SMA level on the daily chart. On the 4-hour chart, Brent has support at $69.6 and resistance at $71.3.

Gold
Gold rose by 0.18% today and is currently trading at 3040. From a technical standpoint, the yellow metal is retesting its breakout at the 3035-3037 level, supporting the bullish stance from an intraday standpoint. It must be noted that on the weekly chart, the metal has broken out of the resistance of the upward-trending channel, reiterating the bullish bias. On the hourly chart, the 9 and 21-period EMAs are at 3037.5 and 3031.5. The metal has support and resistance at the levels of 3035 and 3055.
From a fundamental standpoint, yesterday’s geopolitical tensions pertaining to the IDF’s comments continue to support the yellow metal. Looking ahead, the main event for the day is the FOMC decision. According to CME’s Fed watch tool, the probability of the interest rate remaining at the current levels is 99%; hence, the focus will be on Fed Chair Jerome’s remarks.

Last Updated on 2 days by News Desk 1