Silver and platinum are under strong pressure amid demand worries.
The gold market continues to see increasing volatility on Tuesday, as the US dollar continues to attract inflows. With this, gold has sold off in Europe and Asia.
Gold's (XAU/USD) 5% plunge is a surprise given Middle East escalation. The selloff is driven by rising oil prices sparking inflation fears, leading to fewer expected Fed rate cuts (now 46bps), a surging US Dollar (DXY at 6-week highs), and profit-taking.
Gold edges lower as stronger US Dollar offsets safe-haven demand
Gold: Safe-haven rally fades with rate repricing – Commerzbank
Gold Price Forecast: XAU/USD faces pressure near upper Rising Channel boundary around $5,400
Gold rose to 5,350 USD per ounce on Tuesday, marking its fifth consecutive session of gains. Demand for safe-haven assets continues to grow amid the escalating conflict in the Middle East.
Despite the gap in price on the market open after the conflict with Iran, the market is showing the chance for a trading zone as long as prices remain below the 5380-5422 resistance. As we see over the chart, support is at 5249 which could push for another advance.
Gold slips below $5,350 as a dominant US Dollar counters the safe-haven demand sparked by the Riyadh embassy strike. Will the $5,304 support hold the line?
Saudi Arabia Gold price today: Gold rises, according to FXStreet data
Philippines Gold price today: Gold rises, according to FXStreet data
United Arab Emirates Gold price today: Gold rises, according to FXStreet data