FXStreet (Mumbai) – Gold is trading moderately weak in the early US session as the investors prefer to stay on the sidelines ahead of the FOMC policy statement due tomorrow.
Will the FOMC hint at rate hike?
Currently, the metal traders are weighing the impact of Fed hinting at the timing of a rate hike this year on the yellow metal. With Grexit fears out of the way for now, the doors are open for a rate hike in the US. However, the renewed sell-off in the Chinese equity markets on Monday forced the markets to speculate that Fed may stay non-committal on Wednesday.
The metal currently trades 0.13% lower at USD 1095.40/Oz. Ahead of the FOMC statement, the metal may witness minor moves after the release of the US data – services PMI and consumer confidence due later today.
Gold Technical Levels
The immediate resistance is located at 1100, followed by another resistance at 1109.73 (hourly 200-MA). The support is seen at 1093.11 (hourly 50-MA) and 1088.33 (previous session’s low).
(Market News Provided by FXstreet)