Gold maintains a positive outlook, awaiting US CPI data and tariff developments for fresh direction

Gold prices remain confined to a narrow range on Wednesday morning, pressing against the near-term congestion ceiling at $2,930.

The short-term bias favors bulls as long as the price holds above the psychological $2,900 level, though daily indicators offer mixed signals, with negative momentum contrasting a bullish moving average setup.

Markets are awaiting the release of the U.S. February inflation report (forecasted at 2.9% vs. 3.0% in January) for further guidance on the Federal Reserve’s monetary policy stance.

Another key factor influencing gold’s performance is U.S. tariff policy, particularly the recent decision to impose a 25% tariff on all steel and aluminum imports, which could escalate trade tensions.

A worsening trade war would weigh on the global economy, potentially slowing growth at a time when many developed economies are already struggling to recover or facing recession.

Economists highlight increasing risks of a sharper slowdown in the U.S. economy, which could further weaken the global economic outlook. Combined with ongoing geopolitical tensions, these factors create a supportive environment for gold.

Key support is seen at $2,900, reinforced by the 10-day moving average, followed by a higher base at $2,880 and the Fibonacci retracement level at $2,868 (23.6% of the $2,582–$2,956 rally).

Res: 2930; 2942; 2956; 2985
Sup: 2908; 2900; 2891; 2880