• Gold prices rose on Tuesday, hitting a one-month high as the dollar weakened, but gold retraced gains as U.S. President Donald Trump laid out aggressive plans for infrastructure spending and deregulation.
• Gold touched $1,261.15, its highest since Feb. 27 as the dollar weakened.
• Gold retreated from its session high after Trump said his administration was working on changes to bank regulations and his proposed infrastructure bill "may" top $1 trillion.
• Spot gold <XAU=> was up 0.2 percent at $1,255.2 an ounce by 2:01 EDT (1801 GMT). U.S. gold futures <GCcv1> ended the session 0.4 percent higher at $1,258.4.
• On Wednesday, gold price was trading at $1,255.21 per ounce, just below a one-week high hit in the previous session.
• Yet investors remained cautious ahead of a meeting between U.S. and Chinese leaders, as well as the upcoming French presidential election.
• "We view the reacceleration of inflows into physical gold ETFs as a positive sign fundamentally, and believe that we will continue to see inflows due to geopolitical concerns, persistence of low real rates globally, and growing U.S. inflation expectations," RBC Dominion Securities said in a note.
"However, we remain cautious going into Q2 2017, which is typically weaker from a seasonality perspective, and have seen technical resistance this year as gold approaches the $1,260/oz level."
• Technically, June gold futures prices closed nearer the session low today. The gold bulls have the overall near-term technical advantage. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at the February high of $1,268.10. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,225.00. First resistance is seen at last week’s high of $1,264.20 and then at $1,268.10. First support is seen at $1,250.00 and then at this week’s low of $1,246.40. Wyckoff's Market Rating: 6.0
• Spot silver <XAG=> rose 0.3 percent to $18.27, having hit a one-month high at $18.412 an ounce.
Reference: Reuters, Kitco
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