Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Update
Gold Backs off as US Dollar Recovers
July 24, 2023 - (Gold Market Wire) - The Gold market has settled down a bit in the past few sessions as the recent US Dollar weakness has abated. Once again, the machinations of the daily movement:
...have masked the larger picture.
Political chatter is everywhere in the digital info sphere about Russia's 'warnings' to Poland over Western Ukraine. In this light, the movement of Wagner forces in Belorussia starts to take on a more ominous light. Are we heading for a direct Russian/Polish clash in the territory of Western Ukraine? It would certainly be an escalation. And further escalation seems to be mounting. In such an event, how does one see the possible entry of an EU member nation in a direct conflict with a super-power? Well, it has certainly set the Euro-bulls running for cover.
There has been a recent soft-pedalling of the Ukraine conflict by main stream media. Some have seen the war reaching some kind of stalemate/frozen status. We are less sure. Will Poland now 'have a go' in an engagement with Russia, now that Ukraine seems an exhausted force. It would be the next logical progression in this slow-escalation. While that could certainly reveal Dollar strength coming back, we aren't convinced its going to dent Gold much. Our eyes are on the horizontal in the first chart. If we hold, we may add to the position.