Gold rebounded from this week's 10-month low as the dollar eased against the euro ahead of a European Central Bank meeting that is expected to hint at reducing its bond purchase program. The dollar weakened along with slipping U.S. bond yields as expectations of an interest rates hike by the Federal Reserve had been fully reflected. On technical front, gold still lingered within recent trading range and was kept under $1,180 an ounce. The MACD and momentum index also pointed to a bearish tone. Investors shifted their attention to the ECB’s policy meeting due on Thursday. The yellow metal can hardly see any rebound if the meeting holds its accommodative stance.
Silver tracked gold’s rising trajectory and outperformed the latter. The chart shows a more optimistic tone. But investors are recommended to stay on the sidelines amid overall headwinds for precious metals.
 

Dealing Room, ICBC Beijing Branch
Yang Hui

Note: The information herein is provided for informational purpose only. You are liable for the risk incurred to the investments based on this information provided herein.