Gold price falls flat ahead of Tuesday's US data release

LONDON (April) Gold price (XAU/USD) sees earlier gains fade and is holding on to a small intraday gain ahead of the US trading session on Tuesday, trading near $3,132. The precious metal trades slightly above $3,130 at the time of writing and the new all-time high was eked out at $3,149 this Tuesday. Investors are still seeking refuge in Gold’s market with United States (US) President Donald Trump set to announce reciprocal tariffs on Wednesday around 19:00 GMT. 

Meanwhile, traders brace for a heavy trading week in terms of US economic data. In the runup towards the Nonfarm Payrolls release due on Friday, markets will wait for several data to be published. Overnight, during a CNBC interview, Richmond Federal Reserve (Fed) Bank President Thomas Barkin said the economic reading is wrapped in a thick fog and is unclear for policymakers to read where rates should go, while recession fears are still on the table, CNBC reports. 

Daily digest market movers: African mining companies up 33%

• The surging Gold price has propelled South African mining Stocks to their best monthly performance on record, shielding the country’s benchmark index from the mayhem in global markets, Reuters reports. The South African mining Equities had their best monthly performance on record in March, with a 33% jump, driven by increasing Gold prices.
• The CME FedWatch tool sees chances for a rate cut in May decrease to 13.1% compared to near 18.1% on Monday. A rate cut in June is still the most plausible outcome, with only a 23.1% chance for rates to remain at current levels.
• Physical demand and a favorable macro backdrop are helping drive the Gold rally, according to Amy Gower, a commodity strategist at Morgan Stanley, which predicts prices may rise to $3,300 or $3,400 this year. That outlook coincides with forecasts from other major banks, with Goldman Sachs Group Inc. now looking for $3,300 by year-end, Bloomberg reports.

FXStreet