Global gold exchange-traded funds recorded inflows for the second straight day Wednesday, with inflows over the past two days totaling nearly 9 tonnes, Commerzbank says.
A perfect storm of moves in other markets has been fueling recent gains for gold, says Mitsubishi.
Gold could blip higher in the short term but then ease again, says FXTM research analyst Lukman Otunuga.
Comex April gold has climbed as high as $1,235.50 an ounce, its strongest level in two weeks, as traders continue to factor in a not-so-hawkish U.S. Federal Open Market Committee, says Commerzbank.
Analyst Jeffrey Nichols sees potential for upward momentum in gold in essence a self-fulfilling prophecy that means still-higher prices.
Gold has moved back above some key technical-chart points in the rally since the Federal Reserve was not seen as overly hawkish in commentary Wednesday despite upping U.S. interest rates.
While gold has struggled ahead of the Fed decision later today, one analysts says that the market has enough support that prices should rally after the decision.
Investors finally were net buyers of global gold exchange-traded funds Monday after they had been net sellers for more than a week, reports Commerzbank.
Gold futures have been pressured lately by expectations for higher U.S. interest rates, but the downside may be limited by uncertainty about approaching European elections, say Citi analysts.
Analysts and economists say a strong U.S. jobs report does nothing to change the market view that the Federal Open Market Committee will hike U.S. interest rates next week.
Gold is likely to keep attracting institutional and retail buying in the longer term, even though prices may ease some more ahead of next weeks meeting of the Federal Open Market Committee, says Metals Focus.
Exchange-traded-fund holdings of gold have fallen for the second straight day, and one market watcher says the pattern conceivably could continue until a Federal Open Market Committee meeting next week