- Gold rises supported by lower sovereign bond yields.
- Risk appetite also favors demand for raw materials.
- XAU/USD has yet to clearly sign above $1,935.
The Prayed it is rising modestly on Tuesday and is trading in the $1,935 area. Hours ago, at the start of the European session, XAU/USD reached as high as $1,942.39, hitting a new high since mid-April.
The metal’s advance came after falling to $1,910 on Monday, where it rebounded and managed to return to $1,920, reflecting that it remains in demand. In case of clearly affirming over $1,935, the yellow metal would be positioned to extend the rises. While if confirmed at levels below $1,920, the bullish tone would lose strength.
The XAU/USD is supported on Tuesday by a dip in sovereign bond yields, a relatively stable dollar and a rise in the price of raw materials. The 10-year note yields 3.50%, after reaching a weekly high of 3.54% on Monday. The German 10-year benchmark falls marginally, snapping a streak of three straight days of gains.
The silver it is also advancing on Monday and has already made up much of the ground lost on Monday when it traded below $23.00. At the moment he was losing almost 5%, but managed to finish the day at $23.42. On Tuesday it trades on $23.60.
US data (January Preliminary S&P Global PMI) will be released on Tuesday which may have an impact on the market. There will be no comment from Federal Reserve officials as they are in a quiet period ahead of next week’s meeting.
technical levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
