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Gold’s Consolidation near $1,990 Continues Amid Optimistic Market Sentiment

by Barbara Miller

💰 Key Points:

Gold price struggles to maintain its upward momentum, hovering around $1,990 per troy ounce during the Asian session.

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– Improved risk appetite may lead investors to favor risk-driven assets over gold, anticipating the US Federal Reserve’s reluctance to raise interest rates in the upcoming December meeting.

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– The US Dollar Index (DXY) experiences a significant decline of over 1.0% following lackluster US Treasury yields and disappointing labor data.

– Non-Farm Payrolls (NFP) data for October falls short with 150K jobs created, missing the expected 180K and signaling a notable drop from September’s figures.

– The increase in the US Unemployment Rate to 3.9% defies market expectations of stability at 3.8% in October.

– Gold’s demand as a safe haven remains strong amidst the Israel-Hamas conflict, although traders may anticipate a reduction in the risk premium as tensions ease.

– Close monitoring of the evolving situation and efforts to establish a ceasefire will provide further insights into the market.

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