Gold Market Finds Support as Prices Stabilize
Gold steadied after last week’s fall, drawing dip-buying interest on Monday following a slide to $3,975, the lowest level since August. The metal traded near $4,024, up 0.70% on the day, while easing Oil prices offered support as diplomacy focused on the Middle East. Officials from Saudi Arabia, Pakistan and Turkey were reported to be in Tehran for talks with Iranian leaders, after Qatari mediators also met Iranian officials on Sunday. West Texas Intermediate eased to about $100.40 a barrel after hitting $103.28 on Friday, the highest since May.
Outlook Shaped by Fed Policy and Technical Levels
Gold lost around 4% last week as surging Oil strengthened expectations of further Fed tightening, despite falling US Treasury yields and a softer US Dollar, and with some selling tied to an equity pull-back. Early Monday, those declines paused, capping the rebound: the US Dollar Index stood around 101.85 and the 10-year yield near 4.99%. Markets looked to the Fed’s Wednesday decision, widely expected to keep rates at 3.75%–4.00%, though traders priced a 79% chance of a December hike. Technically, price action tested the lower Bollinger Band at $4,023; RSI was 35 and the MACD histogram remained negative, with resistance at $4,020, $4,131 and $4,241, and support at $3,975–$3,950, then $3,900 and $3,800.
