Analysts at Citi maintain a broad Q3 trading range of $2,100 to $2,500, with a longer-term upside target reaching $2,700 by 2026. “Gold is benefiting from both rate cut expectations and mounting fiscal uncertainty,” the firm noted in its latest metals outlook.
Silver (XAG/USD) rose 0.22% to trade near $36.18, rebounding from last week’s low of $35.40.
Dollar Faces Pressure as Fed Speculation Builds
The U.S. dollar has remained under pressure as markets await clarity on the future leadership of the Federal Reserve. With reports suggesting that former President Trump may announce a new Fed Chair nominee as early as September, investors are pricing in heightened policy uncertainty.
The U.S. Dollar Index (DXY) is trading near its lowest level since February 2022, which amplifies support for dollar-denominated commodities, such as gold and silver.
Fiscal Concerns and Upcoming Data in Focus
Rising fiscal concerns are also shaping investor sentiment. The recently passed tax legislation, dubbed “One Big Beautiful Bill”, is projected to expand the federal deficit by $3.8 trillion, according to Treasury estimates. This has prompted renewed demand for hedges against long-term fiscal instability.
Looking ahead, markets are watching key U.S. economic releases, including:
