A slight boost to gold prices in the global market. Find out their level now

Gold prices rose globally from their lowest level in a week, attracting the metal to some buyers aspiring to obtain a safe haven in light of expected market changes, according to what the MI Trade platform reported.
Spot gold price reached $2,662 per ounce, up 0.05%, as the metal saw little change on the back of an encouraging US retail sales report for November, which followed a strong US services PMI report issued by S&P.

Why did gold prices rise?

The rally can be attributed to some repositioning ahead of a major risky event by central banks although it is likely to remain limited as traders opt to wait out the outcome of the crucial two-day Federal Open Market Committee meeting.
Read also: Cautious calm in gold markets ahead of the last interest rate meeting in 2024
The Fed is widely expected to cut borrowing costs by 25 basis points and adopt a more dovish stance on interest rate cuts in the future.
Hence, the focus will remain on the monetary policy statement and economic outlook, which includes the so-called bullet chart and Federal Reserve Chairman Jerome Powell’s statements in the post-meeting press conference.

US dollar and gold

The US dollar index rose to above 107 before falling to 106.77, down 0.10%, after US industrial production data was disappointing.
Investors will be looking for signals about the path of interest rate cuts that the Federal Reserve will take, which will affect US dollar prices in the near term and provide new directional momentum for the gold price.
Read also:
At the same time, the possibility of the Fed adopting a less accommodative approach remains supportive of rising US Treasury yields and the dollar and should keep the yellow metal non-yielding.

What does the price of gold need?

Gold needs to cross the strong $2,664 per ounce barrier for its trading activity to take hold in the short term.
Technically, any subsequent upside move could hit a snag near the weekly high around the $2,664-2,666 area that was touched on Monday before the $2,677 area.
An upward momentum would allow the gold price to reclaim the $2,700 round figure and the subsequent upward move could extend to a monthly high around the $2,726 area above which gold is likely to resume its upward trajectory.