Gold Stalls Near Resistance as Fed Officials Eye Further Rate Hikes

Gold's price has leveled out as it holds above its 50-day moving average at $4,301.00. The precious metal is currently trading near a short-term 50% level at $4,319.60. If gold breaks through this resistance zone, it could trigger a sharp move down to the support cluster formed by the main bottom at $4,235.17 and the 61.8% level at $4,230.51.

The Federal Reserve's recent rate hike has put pressure on gold prices. However, with the 10-year yield pausing near its highs without reversing, it may be preventing a deeper sell-off in gold.

St. Louis Fed President Alberto Musalem and Chicago Fed President Austan Goolsbee have both expressed support for further rate hikes to control inflation. This has strengthened the case for another interest rate increase this month.