Though the Gold price has recovered somewhat from its setback, the yellow metal has no upside potential for now, in the view of strategists at Commerzbank.

No end in sight to the rate hikes in the US

“We do not envisage any further potential for recovery in the short term.”

“After all, the US labour market (report due to be published on Friday) is presumably still so tight that any end to the rate hike cycle in the US remains uncertain.” 

“Rising interest rates have a braking effect on Gold, being a non-interest-bearing investment.”