Forex
Gold Struggles Amid Strong Dollar and Rising Yields
Gold prices dropped by 2.13% last week and closed Friday near $4,285. The surge in 10-year Treasury yields above 5% and a strong US dollar contributed to this decline. Despite some easing on Friday, gold failed to find relief.
The upcoming PCE inflation report on Wednesday could indicate whether the pressure on gold will continue or ease. According to the technical structures of the US Treasury yields and the US dollar, gold needs real yields and a weaker dollar for a strong recovery.