Gold Prices React to US Inflation and Market Volatility

Gold markets continue to experience downward pressure, with the possibility of dropping to the $1950 level if the 50-Day EMA is broken. Traders are taking profits ahead of the holidays, and the upcoming meetings of the Federal Reserve, Swiss National Bank, Bank of England, and European Central Bank could create further volatility in interest-rate sectors. While still in an uptrend, gold is testing major support levels. A turnaround and move above $2000 could lead to a return towards $2050, but the timing remains uncertain. Value hunters may wait until after the holidays to buy, with the reaction to the Federal Reserve meeting being a key factor. The current selloff may be overreacting, and a potential slowdown is anticipated.