The price of gold rebounded from a one-month low to start the week, as markets responded to the start of the US-UK trade deal.
This agreement, which was first negotiated in May, will see British carmakers able to export up to 100,000 cars per annum, at a 10% tariff. This is less than the 50% levy imposed on automakers by other nations.
Today’s news sent the Dollar weaker versus the British Pound, with GBPUSD remaining near a recent high of 1.37.
XAUUSD has so far peaked at $3,296, breaching a key resistance level of $3,285 in the process. Should this upward trend continue, the next target for bulls could be $3,330.
Despite a shortened week due to the U.S. Independence Day celebrations this Friday, there will be several key data points that could shift market sentiment.
This includes non-farm payrolls, manufacturing PMI, and a speech from Fed chair Powell.