The market is facing expectations that gold will decline sharply

Gold markets are quiet ahead of the Fed's policy meeting on Wednesday. Traders expect the Fed to leave interest rates unchanged at the end of this policy meeting. The market is predicting about a 45% chance that the Fed will cut interest rates in March 2024.

Gold speculators are hoping for a series of important economic data to be released soon. Important US inflation data will also be released this week.

Additionally, traders will keep a close eye on the US Treasury note and bond auctions on Monday and Tuesday.

The European Central Bank (ECB), the Bank of England (BoE) and the Swiss National Bank all hold monetary policy meetings on December 14.

Gold price forecast

Chris Gaffney, president of global markets at EverBank, said the market is on edge with interest rate expectations. The only risk to precious metals prices next year is the Fed having to maintain higher interest rates for longer.

Daniel Pavilonis, commodities broker at RJO Futures, said interest rates may pause adjustment. The precious metal will move sideways within the $2,000/ounce range this week.

Entry sell 1990-2000
TP 197x - 195x
SL 2015