Headline: Gold Stays Flat After Sharp Pullback Experienced Yesterday

Forex - Gold prices are currently moving sideways following a sharp decline from yesterday's three-week high, attributed to significant selling pressure. The commitment to impose tariffs on all imports from Canada, Mexico, and China upon Trump's taking office has increased safe-haven demand, resulting in today's sideways movement in spot gold.

City Index senior analyst Matt Simpson stated, “Despite the prolonged sales yesterday, gold remains relatively resilient, indicating a degree of safe-haven demand. Especially with Trump becoming a focal point again, we may see more turbulence ahead.”

Meanwhile, Minneapolis Fed President Neel Kashkari indicated that he is open to further interest rate cuts next month. According to CME Group's FedWatch tool, markets are currently forecasting a 55.9% probability of a 25 basis point rate cut by the U.S. Federal Reserve in December.

Investors will closely monitor U.S. consumer confidence data set to be released today, as well as the minutes from the Fed's November meeting. They will also be looking for the first revisions of GDP and core PCE figures to be announced later this week.

Simpson added, “I expect gold to trade within a narrow range in the short term, with a slight upward drift.” Analysts are marking $2,608 as the support level for spot gold today. A break below this level could lead to a pullback toward $2,538. Resistance levels are noted at $2,652 and $2,689.