- Gold price struggles to capitalize on its modest intraday gains amid mixed fundamental cues.
- Expectations for a less dovish Fed and elevated US bond yields cap gains for the XAU/USD.
- Geopolitical risks, trade war fears and Fed rate cut bets could lend support to the precious metal.
Gold price (XAU/USD) surrenders a major part of its intraday gains and retreats to the lower end of the daily range during the first half of the European session on Friday. The growing market conviction that the Federal Reserve (Fed) will adopt a cautious stance on cutting interest rates, amid signs that the progress in lowering inflation to its 2% target has stalled, remains supportive of elevated US Treasury bond yields. This, in turn, assists the US Dollar (USD) to preserve its gains registered over the past week or so, to a fresh monthly peak and acts as a headwind for the non-yielding yellow metal.
Any meaningful downside…
