Ella 
Gold prices (XAU/USD) were range-bound during Friday’s Asian session, consolidating after a strong rally to a two-week high near $2,360-2,365 the day before. Meanwhile, expectations of a rate cut by the Federal Reserve this year have kept gold’s short-term bias bullish. The weak U.S. economic data released on Thursday reaffirmed this expectation, with data adding to signs of a recent slowdown in the U.S. economy. Plus, gold’s effective break above the 50-day SMA is a boon for bullish traders, suggesting the path of least resistance for the commodity is up.
Meanwhile, the Bank of England’s (BOE) dovish outlook on Thursday boosted bets on an August rate cut. In addition, the European Central Bank’s (ECB) decision to start cutting rates earlier this month and the Swiss National Bank’s (SNB) second rate cut for 2024 announced on Thursday further validated the short-term positive outlook for interest-free gold. However, rising U.S. Treasury yields and the underlying bullish sentiment in global equities have become key factors in curbing safe-haven gold’s gains. However, XAU/USD is still set to post a second straight week of gains.
