The latest US inflation will steer gold going into 2024. Gold continues to test resistance, 20-dsma acting as near-term support.
The technical outlook for gold is looking increasingly positive as we near the last major data event of 2023, the Fed’s preferred measure of inflation, Core PCE.
This Friday’s release is expected to show the November Core PCE Price Index (y/y) slip to 3.3% from 3.5% in October,
while the PCE Price Index (y/y) is expected at 2.8% from a prior month’s 3.0%. If these market forecasts are correct,
the Fed will have a tougher job trying to convince financial markets that US rates need to stay at their current level for much longer.
Source: ig.com
