Gold prices fell after strong data last week:

Gold prices declined on Monday during trading, due to the rise of the U.S. dollar and Treasury bond yields.
This followed the impact of strong U.S. employment data last Friday on expectations of imminent interest rate cuts by the U.S. Federal Reserve.

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Major traders and managed funds have reduced their long positions in gold futures for the fourth consecutive week.
While Jerome Powell continues to signal three interest rate cuts this year,
there is still debate about whether gold can rise from its current levels.

The dollar index rose to its highest level in eight weeks, making gold more expensive for holders of other currencies.
Yields on the ten-year Treasury bonds rose to over 4%.

Data from the U.S. Department of Labor on Friday showed that non-farm payrolls increased by 353,000 jobs in January,
nearly doubling economists’ expectations of 180,000 jobs.

The unemployment rate dropped to 3.7%, and hourly wage rates increased by 0.6%, exceeding the expected 0.3%.

On the other hand

data from the University of Michigan showed a 13.3% monthly increase in the Consumer Confidence Index in January,
reaching 79 points in the revised reading compared to 69.7 points in the previous month and 78.8 points in the preliminary reading.

Last week, Jerome Powell, the Federal Reserve Chairman, rejected the idea of reducing interest rates in the spring.
However, he expressed confidence in inflation returning to the central bank’s target of 2%.

Investors are awaiting statements this week from several Federal Reserve members
for further evidence regarding expectations of interest rate cuts.

Gold prices fell after strong data last week

Gold prices fell after strong data last week

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