Gold Price Forecast XAUUSD consolidates around $1,930, Fedspeak eyed

  • Gold price refreshed nine-month highs above $1,935 in European trading.
  • The uptick in US Treasury yields is capping Gold’s upside amid the subdued US Dollar.
  • Upside bias remains intact for Gold price amid a bullish daily technical setup.

Gold price is retreating from the highest level seen in nine months at $1,938 in the Europen session, as the renewed uptick in the US Treasury bond yields is aiding the recovery in the US Dollar. Meanwhile, the US Dollar also seems to benefit from cautious optimism, amid dovish Federal Reserve expectations, mixed US corporate earnings reports and weak domestic economic data.

Investors are also resorting to repositioning heading into the Fed’s ‘blackout period’ and China’s Lunar New Year holidays, starting next week. Meanwhile, the focus will remain on the speeches by the Fed policymakers Patrick Harker and Christopher Waller for the next directional move in the Gold price, as those will be the last words from the US central bank ahead of its February 2 policy announcement.

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