{"id":119588,"date":"2025-09-02T15:55:25","date_gmt":"2025-09-02T12:55:25","guid":{"rendered":"https:\/\/ironfx-com.wp-dev.int.theitops.net\/?p=119588"},"modified":"2025-09-02T15:55:26","modified_gmt":"2025-09-02T12:55:26","slug":"gold-outlook-gold-closes-in-on-all-time-high-figure","status":"publish","type":"post","link":"https:\/\/www.ironfx-cn.com\/ar\/gold-outlook-gold-closes-in-on-all-time-high-figure\/","title":{"rendered":"Gold Outlook: Gold closes in on all-time high figure"},"content":{"rendered":"

Gold\u2019s price has formed a new all time high figure near $3510 per troy ounce since our last report<\/a>. Today\u2019s report is to discuss the continued debate over the Fed\u2019s independence, the recent tensions between Venezuela and the US, the upcoming US Employment data some data regarding Gold ETF inflows and\u00a0 we are to conclude the report with a technical analysis of gold\u2019s daily chart.<\/p>\n\n\n\n

Fed\u2019s independence continues to be under threat<\/strong><\/strong><\/h2>\n\n\n\n

Issues with the Fed\u2019s independence started last week as we mentioned in our previous report when President Trump published the letter stating \u201cpursuant to my authority under Article II of the Constitution of the United States and the Federal Reserve Act of 1913, as amended, you are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately\u201d, in regards to Fed Governor Lisa Cook\u2019s alleged indiscretions. <\/p>\n\n\n\n

The most recent development in this case was the progression to a court of law, with Judge Jia Cobb asking both sides to file their arguments by today. Moreover, ECB Schnabel\u2019s comments may have aided market worries, with Reuters quoting her as having stated that \u201cIf the loss of Fed independence happened \u2013 and I very much hope that it doesn\u2019t \u2013 this would be very disruptive for the global financial system..\u201d. <\/p>\n\n\n\n

The comments made by ECB Schnabel highlight the global concern amongst policymakers about the possible risks posed by the Fed losing it\u2019s \u2018independent\u2019 status. Hence, the longer the situation continues the higher the risk as the Fed\u2019s next monetary policy meeting is quickly approaching and a lack of clarity may funnel inflows into gold given it\u2019s safe haven asset status.<\/strong><\/p>\n\n\n\n

Venezuela-US tensions in sight<\/strong><\/strong><\/h2>\n\n\n\n

Tensions between Venezuela<\/strong> and the US have been on the rise following the increased military deployment in the Southern<\/strong> Caribbean<\/strong> and in particularly close to Venezuela. In response, Venezuela\u2019s President Maduro stating that the US is seeking regime change<\/strong> and that \u201cVenezuela is confronting the biggest threat that has been seen on our continent in the last 100 years\u201d and that he was ready to \u201cdeclare a republic in arms\u201d if attacked by US forces. <\/p>\n\n\n\n

On the other hand, the US administration<\/strong> is claiming the warships approaching Venezuela\u2019s territorial waters are in an effort to combat drug trafficking<\/strong>. Moreover, if that wasn\u2019t enough, Guyana<\/strong> which borders Venezuela<\/strong> and has had their own territorial issues with them in the past has claimed that a boat carrying election officials<\/strong> and ballot boxes was shot at \u201cfrom the Venezuelan shore\u201d with Venezuela denying the allegations. <\/p>\n\n\n\n

Nonetheless, should a military conflict occur in the region<\/strong> it may spark concerns about a possible destabilization of the current dynamics in the area and could thus aid gold\u2019s price given its safe haven asset status.<\/p>\n\n\n\n

US Employment data<\/strong><\/strong><\/h2>\n\n\n\n

The US Employment data<\/strong> for August<\/strong> is set to be released this Friday. Our main focus will be on the unemployment rate which is expected to increase from 4.2% to 4.3% implying a loosening labour market. <\/p>\n\n\n\n

In turn such implications may increase calls for the Fed to cut rates in their next meeting and could further solidify the market\u2019s expectations of a rate cut, which may weigh on the dollar whilst aiding gold\u2019s price given their inverse relationship with one another.<\/p>\n\n\n\n

In conclusion<\/strong> should the unemployment rate for August come in at 4.3% or higher it may aid gold price, whereas a lower than expected unemployment<\/strong> rate<\/strong> could have the opposite effect.<\/p>\n\n\n\n

Gold ETFs experience renewed support<\/strong><\/h2>\n\n\n\n

According to a recent report by the World Gold Council<\/strong>, gold ETF\u2019s faced the strongest inflows<\/strong> since mid-April<\/strong>, with the recent influx being attributed to increasing optimism about a possible rate cut by the Fed during their next meeting this month. In turn should inflows into gold continue in the coming week, it could possibly further aid gold\u2019s price.<\/p>\n\n\n\n

Gold Technical Analysis<\/strong><\/h2>\n\n\n\n

XAU\/USD Daily Chart<\/strong><\/strong><\/strong><\/h3>\n\n\n\n
\"Line<\/figure>\n\n\n\n