Gold edged lower in early trading on Wednesday as it remained beneath the key level of $5000 per ounce. The yellow metal is currently trading below the daily pivot point at $5025. If the price settles below $5025, it could extend toward support levels of $4965 then $4928. On the upside, if gold rises above the aforesaid pivot point, it may test resistance levels depicted at $5068 then $5093.
Gold prices dropped on Wednesday as investors stayed on the sidelines, assessing the economic impact of the Middle East conflict, ahead of the U.S. Federal Reserve’s rate decision.
Market Watch
Hayan Abdul Ghani: Oil exports resume via Ceyhan Port
Iraq’s oil minister Hayan Abdel-Ghani said oil flows from Ceyhan were expected to start at 07:00 GMT on Wednesday, according to state media. Two oil officials said last week that Iraq was seeking to pump at least 100,000 barrels per day of crude through the port.
The KRG confirmed the agreement, saying in a statement the two sides would form a joint committee to prepare for resuming oil exports via the region’s pipeline from March 18, with revenue to be returned to the federal treasury.
Assassination of Ali Larijani heightens tensions
Iran confirmed that its security chief Ali Larijani had been killed in an Israeli attack. He is the most senior figure targeted since Supreme Leader Ayatollah Ali Khamenei was killed on the first day of the U.S.-Israeli war at the end of February.
A senior Iranian official said Iran’s new supreme leader had rejected de-escalation offers conveyed by intermediary countries.
Dollar holds steady ahead of Fed decision
The dollar index stabilized during Wednesday’s trading session after posting losses for two consecutive sessions and is trading below the key level of 100.
The Fed is widely expected to hold rates steady for a second straight meeting when it announces its policy decision later in the day.
Looking Ahead
Markets are awaiting today’s Fed interest rate decision at 18:00 GMT, followed by Jerome Powell’s press conference.
Investors will also scrutinize U.S. Producer Price Index data, with annual inflation projected to edge up to 3.0% from 2.9% in January.