Market Overview
Gold prices rose modestly on Wednesday, briefly touching a new record high near $3,357.66 per ounce. The precious metal surged more than $100 on the day, breaking through the $3,300 level and peaking at $3,342.95/oz. Crude oil also closed higher on Wednesday, with U.S. prices climbing over $1 per barrel amid concerns about global supply following new U.S. sanctions on Iranian oil importers.
Gold Overview
On Wednesday, gold prices continued their upward trajectory, briefly hitting a new all-time high of $3,357.66/oz. The metal soared more than $100, breaking past the $3,300 mark and reaching as high as $3,342.95/oz. Escalating global trade tensions, Federal Reserve Chair Jerome Powell’s remarks on slowing growth, and a decline in U.S. equities, the dollar, and Treasury yields fueled safe-haven demand for gold.
During his speech at the Economic Club of Chicago, Powell noted that higher-than-expected tariffs could drive up inflation while slowing growth. However, he emphasized that the Fed would wait for more data before making any rate decisions. He also warned that importers rushing to beat tariffs could weigh on GDP and market sentiment.
The dollar weakened following Powell’s comments, dropping 0.89% to 99.27, approaching the three-year low of 99.01 set last week. U.S. Treasury yields also declined for a third straight session. The Fed Chair’s warning on inflation and economic uncertainty sparked investor movement into safer assets like Treasuries and gold.
Analysts note that gold has surged nearly $700 so far in 2025, driven by tariff conflicts, interest rate cut expectations, and strong central bank demand. With prices now firmly above $3,300, sentiment and psychological levels will likely dictate the next move. Bullish targets include $3,400, $3,500, or even higher, though profit-taking or positive trade news—particularly between the U.S. and China—could trigger a pullback.
Gold – Technical Analysis
Gold opened the Asian session with a strong bullish breakout. In the European session, prices continued to rise, breaking above the key $3,300 level and entering a period of consolidation. During the U.S. session, gold maintained support above $3,300 and accelerated higher, breaking through $3,320 and closing near $3,350 with strong momentum.
Gold – Today’s Outlook
Caution is advised when buying at high levels; consider waiting for a pullback.
- Key resistance: $3,370–$3,375
- Key support: $3,320–$3,310
Crude Oil Overview
Crude oil prices finished higher on Wednesday following the U.S. government’s announcement of new sanctions targeting importers of Iranian oil. The move fueled concerns about global supply disruptions, pushing U.S. oil prices up by more than $1 per barrel.
West Texas Intermediate (WTI) crude for May delivery rose $1.14, or 1.86%, to close at $62.47 per barrel on the New York Mercantile Exchange.
The new sanctions, part of President Trump’s effort to pressure Tehran and cut Iran’s oil exports to zero, include measures against certain smaller “teapot” refineries believed to be importing Iranian crude.
Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) said it had received updated commitments from Iraq, Kazakhstan, and others to further reduce output and offset previous overproduction—adding to the bullish momentum in oil prices.
Crude Oil – Technical Analysis
Oil prices initially came under pressure in the Asian and European sessions, breaking below the $60 level to a low near $59.80 before rebounding. The market then rallied through the U.S. session, recovering above $62 and closing with a bullish reversal candle. Price action continues to reflect a broad-range consolidation pattern dominated by alternating bullish and bearish swings.
Crude Oil – Today’s Outlook
Continue to follow a range-trading strategy—sell at highs, buy at dips.
- Key resistance: $63.0–$63.5
- Key support: $60.5–$60.3
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Disclaimer
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