Gold Prices Near June High as US Inflation Bets Ease

Gold prices are holding steady near their June 5 high of $4,400, despite mixed fundamental cues. The metal's momentum is being fueled by a decline in US inflation and interest rate hike bets, which has undermined the US Dollar (USD).

The recent drop in US Retail Sales and Consumer Sentiment Index have further reduced expectations for an immediate interest rate hike by the Federal Reserve (Fed), supporting the non-yielding bullion. However, investors remain cautious due to volatile energy prices and persistent geopolitical uncertainties.

The technical analysis suggests that gold remains below its 200-day Simple Moving Average (SMA) and is facing resistance at $4,400. The Relative Strength Index (RSI) indicates bullish momentum, but the Moving Average Convergence Divergence (MACD) is in positive territory, hinting at a rebound within a bearish backdrop.

The focus remains on the release of FOMC Minutes on Wednesday, which could provide further cues about the Fed's future policy path and influence the USD and gold prices.