FxAnalysis

Spot Gold approached the $4,000 threshold on Tuesday, easing for a second consecutive day after starting the week with a bullish gap.

Overnight, South Korea’s Kospi fell more than 10%, SK Hynix lost close to 15% and Samsung Electronics lost 13%. Into that, Dow Jones Industrial Average futures traded up around 1% on paint and soft drinks, and S&P 500 futures sat roughly flat.

Government borrowing costs have climbed sharply across the world as higher Oil prices revive inflation fears and force investors to reconsider whether the main central banks have finished raising interest rates.

The Indian Rupee just endured its most brutal six-month stretch in years, battered by a perfect storm of global shocks.

Gold is challenging the $4,050 level early Tuesday, extending the pullback from above $4,100, as sellers remain in control ahead of the two-day US Federal Reserve (Fed) monetary policy meeting, starting later in the day.     

Spot Gold gapped higher at the beginning of the new week, as a pause in Middle East hostilities underpinned the mood and weighed on the US Dollar (USD). The XAU/USD pair traded as high as $4,116.20 during Asian trading hours, following a pause in strikes between Iran and the United States (US).