What Happened
New York Federal Reserve President John Williams spoke on Thursday, noting that the US job market has stabilised while acknowledging he is not surprised to see near-term inflation expectations creeping higher. The comments add to an uncertain macro backdrop, keeping pressure on rate-sensitive assets. The S&P 500 is currently trading around 5,892, while the ASX 200 sits near 8,241 as markets digest the Fed commentary.
Key Levels
S&P 500:
Support: 5,800 (recent consolidation zone), 5,720 (April swing low)
Resistance: 5,930 (near-term ceiling), 6,050 (February highs)
ASX 200:
Support: 8,150 (10-day moving average), 8,000 (psychological round number)
Resistance: 8,300 (recent peak), 8,450 (all-time high region)
Gold (XAU/USD):
Support: $3,180, $3,100
Resistance: $3,260, $3,350
Technical Picture
The S&P 500 remains in a short-term uptrend after recovering sharply from its April lows, but momentum is slowing. The index is trading above its 50-day moving average (~5,740), which is a positive sign, but RSI near 62 suggests the rally is getting stretched without being overbought yet. Gold pulled back from recent highs but holds above $3,180 support, keeping the broader uptrend intact.
What Traders Are Watching
- S&P 500 at 5,930: A clean break above this level could trigger a push toward 6,050. Failure here keeps the range-bound chop in play.
- Gold at $3,180: Holding this support keeps bulls in control. A break below opens the door to $3,100.
- ASX 200 at 8,300: Australian traders should watch whether Wall Street strength can push the local index through this resistance level in Friday’s session.
Bias
Neutral-to-cautious. Williams’ comments confirm the Fed is in no rush to cut rates while inflation expectations remain elevated. This limits upside for equities and keeps gold supported as a hedge. Traders should avoid chasing breakouts until clearer direction emerges from upcoming US CPI data.
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