Gold stabilized during today’s trading after hitting a notable decline in the previous session of about 1.7%, its largest daily decline since May 14.

Gold is currently trading near the bullish trend line, looking to stabilize above it to rise towards the first weekly resistance level at $4424. If gold manages to hold above this level, it could be a strong signal that it will continue to break records towards $4593.

On the downside, if gold fails to stabilize above the upward trend line, then breaks the weekly pivot point at $4211, it will lose its positive momentum and test the support levels of $4041 then $3828.

Traders will keep their focus on the trade negotiations between the U.S. and China, as investors assess signs of easing tensions between the world’s largest two economies.

US Treasury Secretary Scott Bessent said he expects to meet with Chinese Vice Premier He Lifeng this week to prevent an escalation of tariffs. Official Chinese news sources reported that he and Bessent held “constructive discussions” and agreed to hold new trade talks as soon as possible.

Trump also confirmed that a meeting later this month with Chinese counterpart Xi Jinping in South Korea will go ahead, adding in a television interview that the U.S. is “going to be fine with China.”

On another note, the focus is expected to return to the economic calendar this week, after the government announced that it will release the consumer price index for September on Friday.

The CPI will arrive mere days before the Federal Reserve is scheduled to have its upcoming monetary policy gathering. Last month, the Fed slashed interest rates by 25 basis points in a bid to support fading employment despite looming risks from sticky price gains.

Although the central bank will receive new data on the inflation part of this equation, the weeks-long shutdown has left policymakers without a slate of other indicators they typically use when calibrating rates, including a monthly measure of the nonfarm payrolls.