USD rises, XAU may recover
Updated
Although the Fed remains optimistic a soft landing can be achieved, Hansen said the market is giving mixed signals. He noted that the downward trend in the benefit curve continues to point to an impending recession.
According to Hansen, the Fed is currently stuck between slowing economic growth and capitalizing on persistently higher inflation versus higher fees. He added that consultants remained worried that the Fed's decision would send the economy into recession. This is unlikely to continue to be supported as a safe-haven asset.
This expert believes that the demand for gold as a hedge against soft-wing failure is unlikely to disappear because US economic development in the coming months is increasingly fading. That's why Saxo Bank maintains its stance on increasing gold prices. According to him, the timing for a new price increase will still depend heavily on upcoming US economic data.
According to Hansen, the Fed is currently stuck between slowing economic growth and capitalizing on persistently higher inflation versus higher fees. He added that consultants remained worried that the Fed's decision would send the economy into recession. This is unlikely to continue to be supported as a safe-haven asset.
This expert believes that the demand for gold as a hedge against soft-wing failure is unlikely to disappear because US economic development in the coming months is increasingly fading. That's why Saxo Bank maintains its stance on increasing gold prices. According to him, the timing for a new price increase will still depend heavily on upcoming US economic data.
Note
BUY XAU 1865 - 1863TP1: 1873
TP2: 1875
SL: 1853
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