Risks of an escalation in conflicts in Ukraine and the Middle East will continue to feed demand for safe-haven assets such as gold, helping support prices above $1,300, according to CNBC’s latest sentiment survey of strategists and traders.
But downside risks remain pervasive and gold bears warned bullion may suffer this week if U.S. economic data – which include consumer prices, durable goods orders and existing home sales – prints on the higher side of the range, building expectations that the Federal Reserve may raise interest rates sooner than expected.
“Any improvement in the U.S. economic data is going to continue the punishment for gold,” said Naeem Aslam, chief market analyst at Ava Trade.
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