Gold Futures Bounce Back from One-Month Low Amid Ongoing Safe-Haven Demand
Gold futures have shown resilience in trading at around $4,480 per ounce, rebounding from a brief pullback to a one-month low of $4,385. The market's technical indicators are positive, with prices holding above the 200-day Exponential Moving Average (EMA) and key volume control points.
The 'dip-buying mentality' is still prevalent in the market, as traders await macro catalysts such as the upcoming US Nonfarm Payrolls (NFP) data. Softer-than-expected employment data has weighed on Treasury yields and kept a check on the US Dollar (DXY), providing an underlying tailwind for gold.
Net-long exposure among gold futures traders and asset managers remains supportive, with persistent central bank accumulation and elevated risk reversals indicating that institutional players are using pullbacks as accumulation windows. Geopolitical flashpoints continue to underwrite safe-haven demand for gold.