XAU/USD Holds Above $4000
Gold Price Forecast: XAU/USD holds above $4,000, eyes $4,060 record high
Gold continues to trade with a bullish tone on Thursday, holding firm above the psychological $4,000 level. At the time of writing, XAU/USD is quoted near $4,035, with the all-time high of $4,060 now within reach. Political uncertainty in France and Japan, combined with expectations of monetary easing in the United States, continue to support demand for safe-haven assets.
The initial optimism following the ceasefire agreement between Israel and Hamas in Gaza has faded quickly, as investors remain cautious about the durability of the deal. Meanwhile, political instability in France—centered around budgetary disputes—and Japan’s fiscal ambiguity following recent cabinet reshuffles have added to global uncertainty.
In the United States, market participants are closely watching signals from the Federal Reserve. Expectations of further rate cuts have intensified following recent dovish commentary from central bank officials. The President of the United States has yet to comment directly on monetary policy, but broader fiscal pressures and election-year dynamics are contributing to speculation about future stimulus measures.
From a technical standpoint, gold maintains its upward trajectory. The $4,000 level has acted as a strong support zone, with bearish attempts consistently rejected above this threshold.
Gold remains well-supported amid global uncertainty and shifting monetary expectations. If XAU/USD holds above $4,000, a breakout toward $4,060 and beyond is plausible. However, traders should remain alert to any signs of reversal, particularly if technical indicators begin to show exhaustion.
The broader macro backdrop—including geopolitical developments and policy signals from the Federal Reserve—will likely determine the next major move. For now, gold continues to shine as a preferred hedge against volatility and fiscal fragility.