Gold prices were largely steady on Thursday, as they struggle to hold above $4700 key level and the EMA (9) on the four-hour chart. The yellow metal is currently trading near the daily pivot point of $4695, where a break above could help prices rise toward resistance levels of $4721 then $4753. On the downside, if the price falls below the bearish channel’s mid-line, near S1 of $ 4663, it may retest support level of $4638.

Global markets remained cautious on Thursday as investors monitored the highly anticipated summit between U.S. President Donald Trump and Chinese President Xi Jinping, where discussions are expected to focus on the Iran conflict, trade relations, and broader geopolitical tensions. Meanwhile, attention also turned to U.S. monetary policy after the Senate approved Kevin Warsh as the new Federal Reserve Chair, raising expectations over the future direction of interest rates. In financial markets, the U.S. dollar continued to strengthen, heading for a third consecutive day of gains as demand for safe-haven assets increased amid ongoing global uncertainty.

Market Watch

Trump to discuss Iran conflict with Xi in U.S.-China summit

U.S. President Donald Trump and Chinese President Xi Jinping discussed the ongoing conflict involving Iran during the U.S.-China summit held today in Beijing, amid rising geopolitical tensions and growing concerns over the stability of global energy markets and international trade.

The talks focused on the war involving Iran, in addition to trade relations, artificial intelligence, and Taiwan. President Trump reportedly sought Beijing’s support in helping contain the escalation and encouraging Tehran to return to diplomatic negotiations. The two leaders also discussed the impact of continued tensions in the Strait of Hormuz on the global economy and supply chains.

According to media reports, Trump stressed the importance of cooperation between Washington and Beijing to prevent the conflict from expanding further across the Middle East. Meanwhile, Xi Jinping expressed China’s interest in maintaining regional stability while warning against actions that could intensify the crisis.

The summit comes at a sensitive time for U.S.-China relations, as both economic powers attempt to manage their political and trade differences while addressing the broader consequences of the Iran conflict, which has weighed heavily on global markets in recent weeks.

U.S. Senate approves Kevin Warsh as Fed chair

The U.S. Senate approved the appointment of Kevin Warsh as the new Chair of the Federal Reserve on Thursday, succeeding the previous chair in a move closely watched by global investors and financial markets amid expectations of potential changes in U.S. monetary policy in the coming period.

The approval followed lengthy confirmation hearings during which lawmakers discussed Warsh’s views on tackling inflation, interest rates, banking sector stability, and the outlook for the U.S. economy amid slowing global growth and ongoing geopolitical tensions.

During his testimony before the Senate, Warsh stated that the Federal Reserve would continue focusing on maintaining price stability and supporting the labor market, while emphasizing the importance of preserving the central bank’s independence in making monetary policy decisions free from political pressure.

Kevin Warsh is considered one of the most prominent conservative economic figures in the United States. He previously served as a member of the Federal Reserve Board of Governors during the 2008 global financial crisis and is known for supporting tighter monetary policy when necessary to control inflation.

Global markets are now awaiting Warsh’s first official remarks after taking office, particularly regarding the future path of U.S. interest rates, which play a key role in influencing the dollar, equities, and gold markets worldwide.

Dollar rises, set for third consecutive day of gains

Global markets are closely awaiting the outcome of the highly anticipated summit between U.S. President Donald Trump and Chinese President Xi Jinping, amid hopes that the talks could help ease geopolitical and trade tensions between the world’s two largest economies, particularly as concerns continue to grow over the Iran conflict and its impact on the global economy. Investors are also focused on the release of U.S. retail sales data for April, which is considered a key indicator of consumer spending strength and overall economic performance. The results could directly influence expectations regarding Federal Reserve monetary policy, as well as movements in the U.S. dollar and global financial markets. The U.S. dollar rose during Thursday’s trading session, heading toward a third straight day of gains, supported by increased demand for the greenback as a safe-haven asset amid ongoing global geopolitical tensions and investor anticipation of key U.S. economic data releases.

The U.S. Dollar Index, which measures the currency’s performance against a basket of major currencies, posted noticeable gains as investors shifted toward safer assets due to continued concerns over developments in the Middle East and trade tensions between the United States and several economic partners.

The dollar also received support from expectations that the Federal Reserve may keep interest rates at elevated levels for a longer period, particularly after recent U.S. economic data showed relative resilience in the labor market and persistent inflationary pressures.

Meanwhile, other major currencies came under pressure, with both the euro and the British pound declining against the dollar, while the Japanese yen remained near recent lows amid the ongoing divergence between U.S. and Japanese monetary policies.

Investors are now awaiting the release of additional U.S. economic indicators, including inflation data and retail sales figures, in search of clearer signals regarding the future path of U.S. interest rates and the dollar’s performance in the coming period.

Looking Ahead

Global markets are closely awaiting the outcome of the highly anticipated summit between U.S. President Donald Trump and Chinese President Xi Jinping, amid hopes that the talks could help ease geopolitical and trade tensions between the world’s two largest economies, particularly as concerns continue to grow over the Iran conflict and its impact on the global economy. Investors are also focused on the release of U.S. retail sales data for April, which is considered a key indicator of consumer spending strength and overall economic performance. The results could directly influence expectations regarding Federal Reserve monetary policy, as well as movements in the U.S. dollar and global financial markets.