US economic data and dollar strength
The U.S. dollar has rebounded recently after falling sharply after Federal Reserve officials signaled less interest rate cuts in the near future. This comes amid a mixed economic outlook, with inflation concerns still tempered by weak US PCE data.
The market expects there is a nearly 93% chance that the Fed will keep interest rates between 4.25% and 4.50% in January, according to CME's FedWatch tool.
Meanwhile, US durable goods orders fell 1.1% in November, and the consumer confidence index fell to 104.7, reflecting concerns about the incoming administration's economic policies.
Gold and silver outlook
As the US economy faces various challenges, a strong dollar and easing inflationary pressures have kept gold prices stable.
However, silver continues to face volatility, and traders will closely monitor developments in the global economy and the Fed's future actions.
short term forecast
Gold prices were stable at $2,611, supported by cautious expectations for interest rate cuts in the US. Silver is facing pressure amid a strong dollar and market volatility is impacting the near-term outlook.
