XAU/USD holds near record highs as Fed uncertainty drives safe-haven demand

Gold (XAU/USD) continues trading near all-time highs around $2,520 per ounce, maintaining a 0.2% gain in Tuesday's session as persistent Federal Reserve policy uncertainty bolsters safe-haven demand. Markets are pricing in a 65% probability of a 25-basis-point rate cut at the September FOMC meeting, with dovish expectations supporting non-yielding gold. The precious metal has gained over 22% year-to-date, outperforming major currencies amid global economic uncertainties and geopolitical tensions. Technical indicators show immediate resistance at the $2,531 record high, while support has consolidated around $2,500 psychological level. The 14-day RSI remains in overbought territory at 72, suggesting potential near-term consolidation. Traders are closely monitoring upcoming US GDP data and Fed officials' speeches for directional cues, with any signs of economic weakness likely to propel gold toward the $2,550 target.