Gold Price Forecast: XAU/USD shines on upbeat mood, soft US jobs data

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Gold Price Forecast: XAU/USD shines on upbeat mood, soft US jobs data
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Gold price (XAU/USD) rebounds in early morning trading during the North American session, bounces from weekly lows of $1944.80, prints solid gains of 0.43%, and exchanges hands at $1958.00.

Gold prices rebound sharply from weekly lows, marking a 0.43% increase as traders digest the latest U.S. jobless claims report. A divided Federal Reserve and the anticipation of Chairman Powell's speech keep investors on edge, with a dovish tilt currently in the lead. The geopolitical tensions following the Hamas attack and subsequent Israeli military actions contribute to the safe-haven asset's appeal.

On the other hand, the Greenback remains on the defensive, losing 0.02%, as shown by the US Dollar Index sitting at 105.50. Investors see 91% odds the Fed would keep rates unchanged, while the firs cut is foreseen at June 2024, with chances lying at 42%. XAU/USD rallied since October 9, due to the Hamas attack on Israel, which escalated to a conflict that witnessed the Israeli army entering the Gaza Strip while the international community looked for a peaceful exit to the hostilities.

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