Gold Prices to Remain Range-Bound Amid US Dollar, West Asia Tensions
Gold prices are likely to remain volatile and range-bound in the coming week as traders track movements in the US dollar, bond yields, developments in the West Asia conflict, and crude oil prices.
After a week dominated by monetary policy and geopolitical developments, investors will shift their focus to fresh economic data, including mid-month manufacturing and services Purchasing Managers' Index (PMI) readings from major economies.
The US dollar index and Treasuries pared some gains as oil prices reversed mid-week following the Federal Reserve's 25-basis-point rate hike, according to Pranav Mer, Senior Vice President, EBG - Commodity & Currency Research, JM Financial Services Ltd.
Investor demand for gold has remained upbeat over the past 7-8 trading weeks, with continued inflows into gold exchange-traded funds across markets, Mer added.