GCAP GOLD said gold prices remain supported after the US CPI for July slowed as expected, with headline CPI easing from 3.5% to 3.4% and core CPI from 2.6% to 2.5%. This led the market to cut the probability of a Federal Reserve rate hike in September to around 40%, and gold responded by climbing above 4,400 dollars to test its highest level in more than two months. However, the situation in the Strait of Hormuz remains unresolved, with Brent crude still trading near 89 dollars per barrel and WTI above 83 dollars per barrel, keeping energy and inflation risks a key variable for the market. Analysts assess that gold remains in a short-term uptrend, but the 4,450 to 4,500 dollar area is still a zone where profit-taking pressure needs to be watched. They therefore recommend a strategy of waiting to buy on price dips, with short-term support seen at 4,350 to 4,320 dollars, or around 67,900 to 67,500 baht for Thai gold prices, and a profit target around 4,450 to 4,500 dollars, or about 69,500 to 70,200 baht for Thai gold prices. If the price breaks below 4,300 dollars, or 67,000 baht for Thai gold, buying should be delayed.
G Capital Public Company LimitedSlowing US CPI reduces Fed rate hike odds, supporting gold prices and benefiting G Capital's gold trading.
