📊 Gold continues rising on geopolitical uncertainties

Gold (XAU) grew by 1.24% on Wednesday, fuelled by uncertainties about Donald Trump's tariff plans and the outcome of the first round of U.S.-Russian negotiations. The U.S. and Russia agreed to hold more talks on ending the war in Ukraine for now. 👉 Possible effects for traders The potential for gold to rise remains limited, as the first round of negotiations between the U.S. and Russia regarding a potential peace in Ukraine has concluded without a clear agreement. According to the director of Kedia Commodities, Ajay Kedia, if both parties do come to a solid plan, it could negatively impact gold. 'There should be a technical profit booking, as the war premium is expected to decline slightly. The potential for gold to rise is capped around $2,970 as resistance and $2,890 as support', Kedia said. On Tuesday, the Trump administration announced it had agreed to hold further talks with Russia following the conclusion of the initial Russia-Ukraine peace talks without the participation of Ukraine or Europe. 'The Trump administration's presidency is creating macroeconomic and geopolitical uncertainties that are likely to prompt investors to diversify into gold', analysts at ANZ said. They added that investment demand for gold would benefit from macroeconomic, geopolitical, trade, and fiscal risks. XAUUSD moved sideways during the Asian and early European trading sessions. The market is now looking forward to the release of the Federal Reserve's January meeting minutes today at 7:00 p.m. UTC. The report could provide insights into the central bank's plans for this year's interest rate path.