Gold prices steadied on Wednesday as worries over rising cases of COVID-19 and expectations of possible inflation from more stimulus measures underpinned the metal, while investors awaited the U.S. Federal Reserve’s meeting outcome later in the day. U.S. gold futures rose 0.5% to $1,954.50. Cases continued to surge in the United States, with four states in the South and West reporting one-day records for virus-related deaths on Tuesday. Underscoring the economic impact from the virus, data on Tuesday showed that U.S. consumer confidence fell more than expected in July. Market participants are now looking at the U.S. Fed’s two-day policy meeting, which ends on Wednesday.
The central bank is expected to keep interest rate unchanged at near zero to support the economy still struggling with the coronavirus pandemic. Meanwhile, Republicans in the White House and the U.S. Congress were in disarray over their own plan for providing $1 trillion in new coronavirus aid, as negotiations aimed at reaching a compromise bill with Democrats also sputtered. SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings rose 0.7% to 1,243.12 tonnes on Tuesday.
TREND : BULLISH
Time : 29/07/2020
Pivot : 1941.14
Technical View : LONG ABOVE 1958.47
Target : 1975.79, 1998.45, 2032.91