Gold Price Forecast: XAU/USD bears step on the gas as the US dollar runs higher
Gold is under pressure as the US dollar goes parabolic into the final day of the week.
The bears are fuelled by prospects of geopolitical angst as well as the ongoing hawkish narrative at the Fed.
Gold prices have been under pressure at the start of Friday, hitting a three-week low and as Reuters reports, the yellow metal is heading for its first weekly decline in five. At the time of writing, gold is trading at $1,755 while the greenback consolidates after a parabolic move due to prospects of more rate hikes by the U.S. Federal Reserve and the return of geopolitical angst. Spot gold The precious metal was down 0.2% after falling to its lowest since July 29 at $1,753.68 in early Asian trading. For the week so far, the metal is down 2.5%.
There was an article that did the rounds by Bloomberg as the Tokyo session opened that sent the US dollar bid and risk-off. The article reported on President Xi Jinping's and Russian leader Vladimir Putin's plans to attend a Group of 20 summit on the resort island of Bali later this year, Indonesian President Joko Widodo said.
“Xi Jinping will come. President Putin has also told me he will come,” Jokowi, as the president is known, said in an interview with Bloomberg News Editor-in-Chief John Micklethwait on Thursday. It was the first time the leader of the world’s fourth-most populous nation confirmed both of them were planning to show up at the November summit.
