17 March | Gold

Gold holds high position amid economic and geopolitical risks

Gold holds high position amid economic and geopolitical risks

On Monday, gold is trading below the record level of $3004.91 reached at the end of last week, but still holding high. The metal's price is supported by geopolitical tensions, concerns regarding tariffs, and hopes of a Federal Reserve (Fed) interest rate cut.

According to Kelvin Wong, senior analyst at OANDA, the rise in gold prices is linked to fears of stagflation. Short-term dynamics remains positive, the expert noted.

As Treasury Secretary Scott Bessent said on Sunday, the risk of recession in the US remains despite a possible adjustment of economic conditions. Meanwhile, consumer sentiment fell to a 2.5-year low in March and inflation expectations rose sharply. Investors fear Donald Trump's new tariffs could push up prices and weaken the economy. 

Meanwhile, geopolitical tensions in the Middle East escalated over the weekend.

Markets now await Wednesday's Fed meeting and Jerome Powell's subsequent speech. A possible increase in the inflation forecast and his comments on trade risks could support gold prices, as reported by Reuters.

Elena Dorohina MarketCheese
Period: 22.04.2025 Expectation: 800 pips
USDCAD to rise from new support at 1.38200
Yesterday at 11:39 AM 30
Period: 26.04.2025 Expectation: 3909 pips
GBPUSD technical correction opens up selling opportunities with 1.288 target
Yesterday at 11:13 AM 25
Elizabeth_Kuzmicheva
Elizabeth_Kuzmicheva

Listed among the best MarketCheese authors
1st in the segment "Metals"
Period: 24.04.2025 Expectation: 150 pips
Brent crude poised to rebound to $69
Yesterday at 10:55 AM 25
Period: 22.04.2025 Expectation: 1495 pips
AUDCAD set to enter fifth wave of growth
Yesterday at 08:29 AM 33
Period: 23.04.2025 Expectation: 2500 pips
Rebound to 145 could interrupt USDJPY decline
17 April 2025 66
AntonVolkov
AntonVolkov

Listed among the best MarketCheese authors
1st in the segment "Currencies"
Period: 21.04.2025 Expectation: 600 pips
AUDUSD rebounds from 0.64000 resistance level
17 April 2025 38
Go to forecasts