Gold continues to maintain its resilience amidst several factors, including anticipated rate cuts by the US dollar, policy lag effects, central bank holdings, and geopolitical tensions in the Middle East. The recent FOMC meeting indicated a cautious approach toward rate cuts on the US dollar, with expectations of a cumulative decrease of 75 basis points by the end of 2024. However, the Fed is closely monitoring various economic indicators, particularly labor data, before considering any rate adjustments. Speculation about potential rate cuts can bolster demand for gold, potentially driving its price to $2,800 by the end of 2024. Market focus remains on upcoming labor data, with expectations that robust data could exert downward pressure on gold, potentially pushing it to the key support level of $2,222. Conversely, weaker-than-expected labor data may propel gold to new all-time highs, reaching $2,400.
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