From Investing.com: 2025-05-20 04:30:00

Gold prices increased by 0.83% due to a weakening US dollar and escalating trade tensions. Moody’s recent downgrade of the US credit rating has heightened concerns about the country’s fiscal trajectory, prompting investors to seek refuge in safe-haven assets like gold. XAU/USD fell slightly during trading sessions and investors should monitor potential shifts in US trade policy and eurozone’s report for market impact.

The euro gained 0.69% against the US dollar following Moody’s downgrade of the US sovereign credit rating. This has reignited concerns over US fiscal policy and creditworthiness, prompting a “sell America” sentiment among investors. The US dollar remains under pressure as Treasury Secretary Scott Bessent reaffirmed higher tariff rates if negotiations fail, increasing geopolitical risk. EUR/USD continues to rise, and traders should focus on the Consumer Confidence report for market direction.

The Australian dollar rose by 0.84% against the US dollar after US President Donald Trump’s calls for an interest rate cut, supporting demand for the Aussie. Market focus has shifted to the Reserve Bank of Australia’s updated economic forecasts and political instability in Australia following the collapse of the coalition. AUD/USD fell during trading sessions, and traders should monitor upcoming RBA official speeches for market cues. Key levels to watch are resistance at 0.65100 and support at 0.63600.



Read more at Investing.com: Gold Edges Higher as US Dollar Weakens Following US Credit Rating Downgrade