ANALYSIS
NQ100 Finds Support from PPIApr 14
Geopolitical Concerns Support Gold Prices
In the FOMC minutes, members are of the view that a faster rate hike path may be required as inflation remains high, and significant balance sheet reduction is likely to be appropriate, putting downward pressure on gold price. However, escalating tensions with the first fire on the Russia-Ukraine line creates a strong demand for safe haven assets. Considering these, in the precious metal, which tested its highest level in 8 months, it is likely that the gains will continue as long as the tensions between the two countries escalate. Technically, permanent moves above 1875 will lead us to 1900 and 1916 resistance levels.
