Thursday Market Overview
Gold fell for a third consecutive session, with prices plunging over $30 intraday on Wednesday and briefly breaking below $3,260, hitting a weekly low of $3,256.32 before recovering slightly to close at $3,288.44.
Oil prices rose 1.6%, after OPEC+ agreed to maintain formal production quotas, while attention shifted to whether eight member nations with voluntary output cuts might now increase supply.
Gold Market Recap
Gold fell 0.36% on Wednesday to close at $3,288.44 per ounce, marking its third straight daily decline.
The drop was driven by rising optimism around trade agreements that could improve the US economic outlook, reducing demand for gold as a safe haven. A strengthening US dollar and hawkish Fed minutes further pressured the metal.
The US Dollar Index rose 0.3%, its second consecutive gain, on hopes that new trade deals would support economic growth.
President Trump’s decision to delay a 50% tariff hike on EU imports, along with an earlier agreement with China to scale back mutual tariffs, has helped reduce fears of an economic slowdown.
“The rapid reversal on EU tariffs over the weekend boosted risk appetite and dampened pessimism about the US growth path,” said Karl Schamotta, Chief Market Strategist at Corpay.
“That gave the dollar a lift.”
Gold – Technical Outlook
Gold initially rose in the Asia and European sessions, rebounding off the $3,292 level and briefly breaking $3,325. However, it quickly lost steam, falling below $3,300 in the US session and closing near $3,280, forming a weak technical close with continued downside pressure.
Gold – Today’s Strategy
Continue trading with the trend, focusing on sell-the-rally or buy-the-dip setups near key levels.
- Resistance: $3,300–$3,310
- Support: $3,285–$3,290
Crude Oil Market Recap
Crude oil prices climbed 1.6% on Wednesday after OPEC+ reaffirmed its formal production quotas, while market focus shifted to whether eight members currently under voluntary cuts might begin gradually boosting output.
The decision comes amid growing concern inside the group about compliance, with countries like Kazakhstan, Iraq, and Russia previously exceeding their quotas.
“The group is doing its part, but we can’t go it alone—other members must also do their share,” said UAE Energy Minister Suhail al-Mazrouei on Tuesday.
Crude Oil – Technical Outlook
Oil prices continued their bullish rebound. After briefly pulling back to $60.80 in Asia and Europe sessions, prices bounced strongly. The US session saw a sharp rally, pushing above the $62 mark. In early Thursday trading, oil extended gains, breaking above $62.50 and touching $62.70, testing previous highs.
Crude Oil – Today’s Strategy
Stick with a buy-on-dip strategy, watching for support confirmation.
- Resistance: $62.5–$62.7
- Support: $61.7–$61.5
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