Core Viewpoint - Gold prices have surged, breaking through $3,720, reaching a historic high, driven by a dovish outlook from the Federal Reserve and ongoing geopolitical risks, which favor the non-yielding gold market [1]. Technical Overview - The 14-day Relative Strength Index (RSI) has re-entered the overbought territory, hovering around 73.50, indicating potential for further price increases [3]. - If buying momentum continues, gold prices may retest the historical high of $3,708. A daily close above this level could open the path to the $3,750 region [3]. - Conversely, gold prices may challenge the psychological level of $3,650; a break below this could lead to testing last week's low of $3,627, with $3,600 serving as a potential support level [4]. Fundamental Overview - Despite a continuous rebound in the USD, gold prices have risen for five consecutive weeks, maintaining proximity to the historical high of $3,708.5 set last Wednesday [6]. - The Federal Reserve's policy statement was less dovish than expected, and optimistic U.S. data has continued to support the dollar's rise, prompting traders to cover short positions amid perceived excessive selling [6]. - Traders are preparing for the core Personal Consumption Expenditures (PCE) price index, a key inflation indicator, set to be released on Friday, which may provide new directional momentum for gold prices [6]. - The market is closely monitoring a series of speeches from Federal Reserve officials for clues on future rate cuts, especially with expectations of two more cuts by year-end [6]. - Upcoming U.S. Treasury auctions may impact the dollar's performance, subsequently affecting gold prices, alongside trade concerns between the U.S. and India and new geopolitical developments that could influence future gold price trends [6].

Group 1 - The core point of the article highlights the strong demand for the $39 billion 10-year U.S. Treasury bond auction, which alleviated market concerns regarding the U.S. fiscal outlook, leading to the first increase in the U.S. Treasury market in five trading days [1] - The auction's awarded yield was 4.362%, slightly lower than the secondary market trading level before the auction deadline, indicating demand exceeded expectations [1] - An additional $22 billion 30-year Treasury bond auction is scheduled for Thursday, suggesting ongoing interest in U.S. government debt [1]