Amidst these developments, the 10-year Treasury note is exceeding 4.20%, a level not reached since November of the previous year, following a drop to 4.73% a month ago.
The Treasury yield curve appears more stable as the market increasingly perceives the Federal Reserve nearing the conclusion of its tightening cycle.
Approaching 5.0%, the 2-year bond remains a distance from the recent peak of 5.11%, observed just last month.
This trend seems to be supporting the DXY (USD) index. Simultaneously, there has been a recent slight increase in forward-looking gold volatility, despite its recent period of stagnation. This could suggest potential uncertainty within the market, possibly indicating an imminent significant price movement.
The GVZ index, akin to the VIX index for the S&P 500, gauges implied volatility for gold.
Looking forward, despite prevailing challenges, the precious metal has shown resilience. However, should these challenges persist, its stability could be further eroded.
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