Gold Remains Volatile Ahead of U.S. Key Economic Fundamentals, Markets Eye U.S. FOMC Meeting Minutes; Feb 17, 2021

U.S. FOMC Meeting Minutes

The key event for the day will be U.S. FOMC Meeting Minutes. It’s a detailed record of the FOMC’s most recent meeting, providing in-depth insights into the economic and financial conditions that influenced their vote on where to set interest rates. U.S. FOMC released Interest rate decision on Jan 27 and kept interest rate unchanged at 0.25 pct. U.S. dollar rose sharply after FOMC’s Interest rate decision and hawkish press conference. Today FOMC will release minutes of its Jan 27 meet.

Key highlights from most recent FOMC Meet by Fed’s Powell:

  • A long way from a full recovery.
  • Real unemployment rate is closer to 10%.
  • Not going to adopt a formula on inflation
  • Very unlikely that we’ll see troubling inflation
  • We will be patient and not react when we see modest bumps in inflation

Let’s see how Gold has reacted during the previous data release:
Jan 06:

Nov 25:

In addition, U.S. will release Industrial Production as well as Capacity Utilization Rate. It’s a leading indicator of economic health – production reacts quickly to ups and downs in the business cycle and is correlated with consumer conditions such as employment levels and earnings. On the other hand, capacity utilization rate is a leading indicator of consumer inflation – when producers are nearing full capacity they respond by raising prices, and the higher costs are usually passed on to the consumer.

Let’s see how Gold has reacted during the previous data release:

Jan 15:

Dec 15:

Technical View:

XAU/USD (Gold): Gold recovers slightly from previous losses and hovers around $1,790 mark. The pair made intraday high at $1,795 and low at $1,783 mark. The Day and H1 charts suggest the bearish trend for the time being. A sustained close above $1,794 requires for the upside rally. Alternatively, current downside trend will test key supports.

Key Resistances: $1,802, $1,808, $1,817, $1,822, $1,828

Key Supports: $1,782, $1,776, $1,772, $1,764, $1,758

Take a look and do trade wisely!
Good Luck

Share on facebook
Share on linkedin
Share on twitter
Share on telegram
Share on whatsapp
Unleash Powerful Trading Conditions with TP Global.

Recent Posts



Suite 305, Griffith Corporate Centre, Beachmont, P.O. Box 1510, Kingstown, Saint Vincent and the Grenadines.

Mail us

Drop mail at:

Contact us

Call or Whatsapp
+44 7441 416320

Risk Warning: Forex and Contracts for Difference (CFDs) are leveraged products. Trading in these products is highly speculative and involves substantial risk. Please note that even knowledgeable and well-experienced investors can experience large potential losses because of trading in Forex and CFDs. Consequently, investors should be fully aware of all the risks involved when trading Forex and CFDs and accept all the negative consequences associated with such trading. Please always remember that trading in Forex and CFDs might not be suitable for all investors. It is desirable investors who would consider trading, to do so only with money that they can afford to lose. You are also recommended to seek independent financial advice if necessary. The content on this website does not constitute financial or investment advice. Any information herein is of a general nature and does not take into consideration your personal circumstances, investment experience or current financial situation. Apple, the Apple logo, iPod, iPad, iPod touch, and iTunes are trademarks of Apple Inc, registered in the US and other countries. iPhone is a trademark of Apple Inc. App Store is a service mark of Apple Inc.

TP Global FX Limited is registered and regulated by Vanuatu Finance Service Commission (VFSC) with a registration number 40409.

TP Global Limited is registered and regulated by FINANCIAL SERVICES COMMISSION (FSC) MAURITIUS with a registration number GB21026474

TP Global FX Limited is registered and regulated by Financial Services Commission, Mauritius with a registration number GB21026474

TP Global Fx Africa Limited is incorporated in Federal Republic of Nigeria under the Companies and Allied matters Act 1990 with registration number RC 1674202. The objects of the company are all subject matters not forbidden by Companies and Allied Matters Act 1990. To provide Electronic Platform through which clients can choose currencies, commodities, indexes, CFDs and other leveraged financial instruments to trade.

mappin at-sign phone close