Gold (XAU) Silver (XAG) Daily Forecast: Market Awaits CPI Data as Gold Hovers Near $2,886

Market Overview

Gold (XAU/USD) is struggling to regain traction, trading near $2,886, after hitting an intra-day low of $2,883. The recent downward pressure comes as Federal Reserve Chair Jerome Powell reinforced expectations that interest rates could remain elevated for longer.

His hawkish stance, paired with robust U.S. employment data, strengthened the U.S. dollar, reducing gold’s appeal as a non-yielding asset. Despite gold’s pullback, concerns over rising trade tensions and global economic uncertainty could limit deeper losses.

Former U.S. President Donald Trump’s 25% tariffs on steel and aluminum imports have raised fears of a broader trade war, which could, in turn, revive safe-haven demand for gold.

Silver Gains on Industrial Demand, But Faces Dollar Strength

Silver (XAG/USD) is holding steady at $31.82, with an intra-day high of $31.94 as industrial demand expectations provide some support.

Unlike gold, silver benefits from manufacturing and economic expansion, particularly in key global markets. However, the strong U.S. dollar and Powell’s remarks are limiting silver’s upside.

If inflation data shows persistent price pressures, silver could face additional headwinds. However, easing inflation could support a recovery, reinforcing silver’s position as a dual-purpose asset—valued both as a safe haven and for its industrial applications.

Investors Await Inflation Data for Fed Policy Clues

With gold under pressure and silver struggling to break higher, traders are focused on the upcoming U.S. consumer inflation report. Analysts expect this data to heavily influence the Federal Reserve’s next policy decision.

If inflation remains high, the dollar could strengthen further, driving gold and silver prices lower. Conversely, softer inflation could spark renewed interest in precious metals.

Short-Term Forecast

Gold is struggling below $2,886, with resistance at $2,915. A break above could fuel gains, while a drop below $2,884 may trigger selling toward $2,852. Traders eye inflation data.

Gold Prices Forecast: Technical Analysis

Gold (XAU/USD) is holding steady at $2,886.91, maintaining its bullish stance above the $2,884.20 pivot level. The 50-day EMA at $2,884 is reinforcing short-term support, while the 200-day EMA at $2,812.90 highlights a broader uptrend. Immediate resistance stands at $2,915.29, with a break above this level opening the door toward $2,942.81.

On the downside, a drop below $2,884.20 could accelerate selling pressure, exposing $2,852.74 as the next key support, followed by $2,823.53. The upward trendline remains intact, supporting the bullish outlook, but a decisive move below pivot levels may shift momentum downward.

Silver (XAG/USD) Price Forecast: Technical Outlook

Silver (XAG/USD) is hovering at $31.79, struggling to gain momentum as it remains below the $32.03 pivot level. The 50-day EMA at $31.94 is providing short-term resistance, while the 200-day EMA at $31.38 suggests a broader consolidation phase. A break above $32.03 could push silver towards $32.53, with a further rally possible up to $32.99.

On the downside, immediate support sits at $31.45, and a move below this level could expose $30.96, reinforcing a bearish bias. The downward trendline continues to cap gains, keeping sellers in control unless silver can stage a breakout above $32.00.