Traders now eye gold resistance at $3409.43 and $3439.04, with momentum building toward $3500.20.
Gold prices surged on Friday as Federal Reserve Chair Jerome Powell opened the door to possible rate cuts, triggering a broad-based selloff in the US Dollar and Treasury yields. Spot gold (XAU/USD) settled at $3371.23, up $32.52 or +0.97%, breaking back above its 50-day simple moving average and eyeing key resistance at $3409.43.
In his final appearance at the Jackson Hole symposium, Powell acknowledged rising risks in the labor market, stating that the balance of risks may now justify a shift in the Fed's policy stance. Though he avoided confirming a cut, markets took his tone as a signal of upcoming easing.