Gold rushes up on weak US CPI and less hawkish Fed – TDS

FX

Gold (XAU/USD) prices are nearly back to the post-CPI highs seen on Wednesday, analysts at TDS note.

Gold is on the rise, Silver faces a leg down

“Back-to-back weaker-than-expected inflation prints, along with the less hawkish details of the Federal Reserve meeting, have seen appetite for the Yellow Metal increase as markets now price in two cuts by end of year.”

“With that said, the back-and-forth price action in the Yellow Metal could see some modest selling if prices fall below $2,330/oz.”

“Elsewhere, the capitulation in Silver (XAG/USD) prices yesterday just nearly avoided Commodity Trading Advisor (CTA) selling levels, but the move has certainly entrenched more downside momentum into the model, seeing the first selling trigger in the crosshairs at $29.14/oz.”

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