On July 12th, spot gold rose in shock, and Fed officials have admitted that the current monetary policy tightening cycle is coming to an end. Investors braced for upcoming U.S. inflation data. Weak CPI will support the Fed to end raising interest rates as soon as possible.
The core CPI in June is expected to rise by 5% year-on-year, still far exceeding the 2% target. Fed officials also said the central bank may need to raise interest rates further to bring down inflation.
The price of gold today fluctuated upward from the point below 1924, forming an obvious upward trend of shocks. In the future market, it is recommended to focus on the pressure on the upper line of 1939. If this pressure is effective, gold may continue to fall. On the contrary, if this pressure is effective Breakthrough, the market outlook may rebound upward again.
