On Thursday, XAU USD) broke through the $2,000 mark again, gaining momentum. The rally was driven by a weaker dollar and lower US Treasury yields, as well as US macro data.
Specifically, U.S. retail sales data recorded a decline in January, beating expectations, indicating a slowdown in household consumption. This should have raised expectations for a faster pace of Fed easing, but with inflation high and persistently firm, policymakers may be cautious about taking precautionary measures too soon.
It is worth noting that the Federal Reserve is now prioritizing the restoration of stability, and the results of the upcoming producer price index survey are attracting market attention. ** shows that the core PPI will decline slightly year-on-year in January, which may have a positive impact on ***. However, an upside surprise similar to the CPI report that indicates that the deflationary momentum has stalled, could lead yields and the dollar to go hand in hand, putting pressure on ***.
On the technical side, **at the $1,990 support**, it gradually broke through the $2,005 resistance. If the bulls manage to break above this level, it could reach a 50-day simple move level of $2,030 and could challenge the $2,065 mark. Conversely, if sellers regain dominance and trigger a downtrend, support is at $1,990 and $1,975, and further downside is focused on the 200-day simple move near $1,965**.
Overall, ** is influenced by a combination of factors, including the U.S. dollar, U.S. economic data and technical conditions, and traders should pay close attention to these factors and carefully formulate their trading strategies. As the market continues to fluctuate, investors need to be vigilant and prepared.