Weekly

The price of gold opened at 2502.66 last week and closed at 2497.23, with a slight drop of $5 for the whole week. However, the high and low prices fluctuated by more than $50, consolidating around the historical high, but the breakthrough momentum was not high. The market has fully digested the interest rate cut by the Federal Reserve in the middle of the month, but there are still differences on how much to cut interest rates. The US dollar index has been continuously pressured to the 100 mark in recent months and began to struggle, which has also caused the price of gold to rise and fall repeatedly.

At the beginning of the week, it was the Labor Day holiday in the United States, and the market trading was quiet. However, the foreign exchange index of the United States was approaching the psychological mark of 100, and the dollar received great support, which also suppressed the gold price from falling to the low of 2471.85 in the past two weeks.

From 2470 to 2480, the price of gold was at a short key level. After the wave broke earlier, the resistance became supportive. Therefore, when it fell to this level last week, there was a rebound in buying support. On Thursday night, small non-agricultural and non-agricultural were worse than expected, which once stimulated the price of gold to rise and approached a record high, but it was unable to break through. In addition, the unemployment rate improved and fell back to 4.2%, which was the first decrease since the labor market began to deteriorate in May.

The market did not see the overall deterioration of the labor market, which caused the gold price to fall back before Friday, but it still held the key level and closed at 2497.23, which was limited to consolidation for the whole week.

The market has generally expected the Federal Reserve to cut interest rates by 1/4% in the middle of the month. However, the possibility of reducing interest rates by half a percentage point was over-digested earlier, so the high price of gold will be blocked in the short term. Technically, the price of gold will stabilize in the short and medium term thanks to the support range of 2470 to 2480, and it will be consolidated in a new range of volatility for a breakthrough. This week, the United States will release CPI, which is the last inflation data before the interest rate meeting. It also has some implications for the interest rate meeting, and the market situation is a little bit slow.