Gold still above $2035, but with losses

The XAU/USD is trading around $2035 with a 0.40% loss, following the release of the US’s October Personal Consumption Expenditures (PCE) figures. The figures aligned with expectations, reinforcing the Federal Reserve’s stance on inflation.

The headline figure dropped to 3% YoY, while the core measure increased to 3.5% YoY. The Initial Jobless Claims for the week ending November 18 showed no significant increase in unemployment, reaching 218,000 vs. the expected 220,000.

US bond yields are rising, with the 2-year rate at 4.70%, the 5-year rate at 4.29%, and the 10-year rate at 4.30%. The US Dollar has recovered, and the DXY index has jumped to 103.35, up by 0.50%.

The technical situation on the daily charts suggests that bulls are taking a breather, with a negative slope in the Relative Strength Index (RSI) and flat red bars on the Moving Average Convergence Divergence (MACD) suggesting selling pressure might be setting in.

The placement of the price above the 20,100,200-day Simple Moving Averages (SMAs) reveals a larger bullish framework, and bulls seem to be taking a breather after the pair hit its highest peak since May at $2,050.

Support Levels: $2,030, $2,015, $2,000.

Resistance Levels: $2040, $2050, $2,070.