- Gold is consolidating the daily up move beyond the $1,460 region.
- Risk-off sentiment sustains the better tone in the metal.
- US CPI surprised to the upside ahead of Powell.
The precious metal is extending the positive performance on Wednesday and is now consolidating gains beyond the $1,460 level per ounce troy.
Gold now looks to Powell’s testimony
Today’s pick up in the demand for the safe havens follows the lack of fresh updates on the US-China trade scenario, allowing skepticism among traders to grow bigger and weigh on the risk-associated space.
In fact, investors’ upbeat sentiment surrounding the trade front have lost some momentum today, particularly after President Trump failed to match market expectations on Tuesday regarding tariffs and his meeting with Xi Jinping.
In the US docket, headline inflation figures gauged by the CPI came in above estimates in October, with prices gaining 0.4% MoM and 1.8% YoY.
Later in the day, Gold is expected to remain cautious ahead of J.Powell’s testimony before Congress.
Gold key levels
As of writing Gold is gaining 0.51% at $1,463.51 and a breakout of $1,497.80 (55-day SMA) would expose $1,519.70 (monthly high Oct.3) and then $1,535.69 (high Sep.24). On the downside, the next support emerges at $1,456.08 (monthly low Nov.8) seconded by $1,449.39 (38.2% Fibo of the May-September rally) and finally $1,416.12 (50% Fibo of the May-September rally).
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