{"id":30153,"date":"2026-03-09T00:59:43","date_gmt":"2026-03-09T00:59:43","guid":{"rendered":"https:\/\/www.vtmarketsglobal.com\/en\/uncategorized\/30153\/"},"modified":"2026-03-09T00:59:43","modified_gmt":"2026-03-09T00:59:43","slug":"in-early-asian-trade-gold-neared-5065-as-stronger-dollar-and-oil-inflation-fears-weighed-on-prices","status":"publish","type":"post","link":"https:\/\/www.vtmarketsglobal.com\/en\/live-updates\/30153\/","title":{"rendered":"In early Asian trade, gold neared $5,065 as stronger dollar and oil-inflation fears weighed on prices"},"content":{"rendered":"Gold (XAU\/USD) fell to about $5,065 in early Asian trade on Monday, after nearing $5,050. The drop came as the US Dollar strengthened and inflation risks increased.\n\nTraders are watching developments linked to US-Iran tensions and wider Middle East risks. The US Consumer Price Index (CPI) report is due on Wednesday.\n\n<h3>Inflation Risks And Fed Expectations<\/h3>\nGold came under pressure as rising crude oil prices raised inflation concerns in the US. This increased expectations that the Federal Reserve may keep interest rates higher for longer, which tends to weigh on non-yielding assets like gold.\n\nThe Federal Reserve is expected to keep rates unchanged at its March 17-18 meeting. Many economists expect the next rate cut to be delayed until June or July 2026.\n\nFed Governor Christopher Waller said the rise in oil prices looked like \u201cmore like a one-off event\u201d and may not need a policy response. He also noted uncertainty if the conflict continues and oil prices keep rising.\n\nWeaker US jobs data may limit further US Dollar gains. February Nonfarm Payrolls showed a decline of 92,000, while the Unemployment Rate rose to 4.4% from 4.3% in January.\n\n<h3>Option Strategies Into CPI And Fed Week<\/h3>\nWith gold pulling back to the $5,050 level, we are facing a market with conflicting signals ahead of this week&#8217;s key events. The immediate focus for us is the CPI inflation report on Wednesday, which will heavily influence the Federal Reserve&#8217;s tone at their meeting next week. This setup suggests that volatility is the main opportunity right now.\n\nGiven the uncertainty, we see value in strategies that profit from a large price swing, regardless of the direction. The recent spike in WTI crude oil to over $110 a barrel has pushed implied volatility on gold options to a six-month high, making strategies like buying straddles on the GLD ETF attractive. This allows us to capitalize on a sharp move after the inflation data is released without having to guess the outcome.\n\nIf we believe the Fed will remain focused on inflation, then the weaker-than-expected jobs report will be dismissed as a one-off event. Looking back, we saw the Fed stay aggressive in 2023 even as parts of the economy cooled, a pattern they may repeat now. In this scenario, buying put options or establishing bear put spreads on gold futures (GC) would be the logical way to position for a further slide.\n\nConversely, the reported loss of 92,000 jobs in February is a significant crack in the labor market narrative. If this is the start of a trend, the Fed may be forced to pivot towards rate cuts sooner than the market&#8217;s June or July expectation. For us, this makes purchasing out-of-the-money call options a relatively low-cost way to bet on a sharp rebound in gold prices.\n\nFor traders with existing long gold positions, buying protective puts ahead of the Fed meeting is a prudent hedge against further downside. We are also watching the US Dollar Index, which recently climbed above the 107 level, acting as a major headwind for gold. Any sign of the dollar weakening would be a strong signal for us to increase our bullish exposure.\n\n<b><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a>\u00a0and\u00a0<a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a>\u00a0now. <\/b>\n<p>\r\n\r\n<p><strong>Start trading now &#8211; Click <a href=\"https:\/\/www.vtmarketsglobal.com\/en\/trade-now\/\">here<\/a> to create your real VT Markets account <\/strong> <\/p>\r\n<!-- \/wp:post-content -->","protected":false},"excerpt":{"rendered":"<p>Gold slips near $5,065 as stronger dollar, rising oil stoke inflation fears; traders await U.S. CPI amid tensions.<\/p>\n","protected":false},"author":38,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[46],"tags":[],"class_list":["post-30153","post","type-post","status-publish","format-standard","hentry","category-live-updates"],"acf":[],"aioseo_notices":[],"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"josephine","author_link":"https:\/\/www.vtmarketsglobal.com\/en\/author\/josephine\/"},"_links":{"self":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/30153","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/users\/38"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/comments?post=30153"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/30153\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/media?parent=30153"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/categories?post=30153"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/tags?post=30153"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}