Profit booking done, Gold again in buying zone\With start of new day of new month, XAUUSD is again in buying zone. The profit booking of the month is done completely.
The buyer on XAUUSD are again on zoom to extend the gains as there are more valid reason for gold to rise highter than settling lower.
Today, the gold price continues to trend upward, driven by several key factors. First, heightened geopolitical tensions and economic uncertainties are strengthening gold’s appeal as a safe-haven asset. Central banks worldwide, particularly in Asia and Europe, are also increasing gold reserves as they diversify away from the U.S. dollar amid "de-dollarization" trends. This demand from institutions and governments is a notable driver of the current rally.
Additionally, expectations around U.S. Federal Reserve policies contribute to the gold surge. Investors widely anticipate potential interest rate cuts in 2024, as the Fed shifts its stance in response to easing inflation and potential economic slowdowns. A lower interest rate environment generally supports higher gold prices, as it decreases the opportunity cost of holding gold compared to yield-bearing assets.
