Gold prices have surged, reaching a new all-time high, following Federal Reserve Chair Jerome Powell’s dovish comments at the Jackson Hole Symposium. Powell’s acknowledgment of the progress made towards achieving the 2% inflation target and his indication of an upcoming rate cut have boosted investor confidence in gold as a safe-haven asset.
The US Dollar has weakened in response to Powell’s remarks, further supporting gold prices. Additionally, the decline in US Treasury yields has reduced the opportunity cost of holding gold.
Technical Outlook
Gold’s uptrend remains intact, with the potential for further gains. A break above the recent all-time high of $2,531 could open the door for a move towards $2,550 and potentially $2,600. However, if gold prices pull back, support levels to watch include $2,500 and the 50-day SMA at $2,402.
