Here is the update on XAUUSD news today, March 22, 2024. The price of gold (XAU/USD) remains stable before the European session on Friday, trading around $2,175, below the previous all-time high. The US Dollar (USD) has risen after last night's recovery, causing gold prices to weaken.

However, the decline in gold prices is limited due to the prospects of loose Fed monetary policy and indications of interest rate cuts. Investors are awaiting Fed Chair Jerome Powell's speech for new direction. Nevertheless, XAU/USD is expected to end positively for the fourth week out of the last five.

Market Movers Summary: Gold prices are under pressure from a moderate USD strengthening and risk-on sentiment; the downside appears limited.

  1. The US Dollar continues its strong recovery from the one-week low reached after the FOMC decision, weakening gold prices on Friday.
  2. The Federal Reserve has raised its economic growth projections and now expects real GDP to reach 2.1% by the end of this year, compared to the previous estimate of 1.4% in December.
  3. Additionally, policymakers have raised their core inflation forecast to 2.6% from 2.4% and now expect the unemployment rate to be 4% in 2024, slightly lower than the previous estimate of 4.1%.
  4. The outlook continues to support rising US Treasury yields, seen as a driver for the USD, although less aggressive policy projections may limit its increase.
  5. In terms of economic data, the US Department of Labor (DOL) reported on Thursday that initial jobless claims fell to 210,000 in the week ending March 16 from 212,000 previously.
  6. US Secretary of State Antony Blinken stated that the gap is narrowing in ongoing talks aimed at achieving a ceasefire in Gaza and the release of hostages, thereby boosting investor confidence.
  7. Fed Chair Jerome Powell's speech at the beginning of the North American session will be viewed as further signaling regarding future policy decisions and providing new impetus for XAU/USD.

    Technical Analysis: Gold prices continue to rise, but buying action when prices dip could prevent significant declines. Support is around $2,146 and resistance at $2,200. RSI shows overbought conditions.

Warning!

That’s the news regarding “XAUUSD Today: March 22, 2024 - Gold Sales Plummet Due to USD Strengthening.” Today's XAUUSD analysis is based on insights from fundamental and technical perspectives from trusted sources, and it is not intended as advice or solicitation. Always remember that this content aims to enrich readers' information. Always conduct your own independent research regarding other forex information as a reference for your trading.

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