Stronger U.S. Data Weighs on Gold Prices
Gold prices retreated to around $3,725 on Friday as stronger U.S. economic data boosted the dollar and tempered expectations for a Fed rate cut ahead of next week’s key inflation report. Weekly jobless claims declined, while Q2 GDP was revised higher, reflecting robust consumer spending and business investment. Following these developments, the probability of a Fed rate cut in October eased from 90% to 85%.
From a technical perspective, holding above $3,750 keeps the outlook constructive. Resistance is seen at $3,790 (all-time high), followed by $3,810 and $3,850. On the downside, the $3,720–$3,725 zone serves as the first support area.
| R1: 3790 | S1: 3720 |
|---|---|
| R2: 3810 | S2: 3600 |
| R3: 3850 | S3: 3550 |