So for now, the gold price is effectively in limbo, with traders looking to see what the next set of US economic data really says before deciding which way to bet.

Fed Signals No Rush on Rate Cuts as US Job Market Remains Strong

It’s worth remembering that the Federal Reserve minutes from their January meeting made it pretty clear that the central bank is under no pressure to slash interest rates anytime soon. In fact, some officials were even talking up the possibility of raising rates again if inflation doesn’t start to slow down like they think it should.

On top of that we’ve just seen yet more economic data showing the US job market is still going strong. Put all that together with more hawkish comments from Fed officials and investors are now starting to rethink their expectations for a serious rate cut.

As a result, the US dollar has gone from strength to strength and has now reached its highest level in months – and that’s all bad news for gold.

Gold Gains Support Amid Rising US-Iran Tensions

On the geopolitical front, President Donald Trump sent out a pretty stern warning to Iran on Thursday – telling them they have to get a nuclear deal sorted within 10 to 15 days or else. Iran’s response to UN Secretary General Antonio Guterres was that they don’t want war but that if anyone attacks them, then Iran will hit back – and they might even hit some key military targets in the region.

Which of course, just increases the chances of a wider conflict breaking out in the Middle East, and that’s good news for Gold, because we all know how well it tends to do when tensions start to rise.