On Tuesday, the 29th of January, 2019, the Spot gold price hit an eight-month high at $1311.35 per ounce, its best level since June 2018, while the global stock outlook appeared to be mixed, as a US-China trade talk had been rattling the global indexes and a stack of faltered quarterly profit result in Wall St.
had been dragging the indexes down. Apart from that, multiple geo-political tensions and a wobbling trickle on financial events, had been nourishing the risk appetite and glooming the market momentum, as investors seemed to be getting more and more interested on the safe haven currencies like Japanese Yen & Swiss Franc, and commodities like the precious metal, gold.
As this week has been bracing for multiple impacts including Fed’s policy decision, Eurozone CPI and GDP data, alongside Germany’s industrial figures, and a Brexit amendment vote along with ongoing US-China tariff talk, the appeal of gold is unlikely to be downsized this week.
Today, Jan. 28th, MSCI’s gauge of global index has remained dithered with little changes, although the US dollar retested its October 16th low at 95.16 and further downside momentum appears to be on the card, as Fed is likely to maintain their dovish policy, which would jolt the spot gold price much higher aswell, while its initial resistance level is residing at $1326.25 per ounce, and once broken, the commodity market could experience a spot-gold break above $1365.64 an ounce.