Notwithstanding the decline in bond yields with the US 10 years again nearing 3%, a stronger USD that has recaptured the 105 mark has not really improved the situation.
The fact that US bond market inflation expectations have dropped to new 2.66 % year-to-date lows, showing that inflationary pressures are gradually being re-anchored, is another reason why gold maintains the current trend.
The most recent Core PCE numbers will be released on June 30, and the headline is predicted to slow to 4.8% by 0.1 percentage points. However, despite the fact that the Fed prefers the Core PCE as a gauge of inflation, the focus is still on the CPI data due to inflation reduction pressures descending upon the Fed.
Gold has maintained a band between 1800 and 1880 in the context of technical support. Gold has been unable to end underneath the psychological barrier since the start of 2022, despite occasional efforts to break 1800.
