International gold prices were largely stable on Thursday, with risk appetite improving after the Fed chairman tried to allay concerns about aggressive interest rate hikes, offsetting the safe-haven demand sparked by the conflict between Russia and Ukraine. But gold has limited downside and is unlikely to fall below $1915. At 1515 Beijing time, spot gold fell 0.01 per cent to $1928.06 per ounce; the main COMEX gold contract rose 0.42 per cent to $1930.4 per ounce; and the dollar index rose 0.14 per cent to 97.494. Kharkiv, Ukraine's second largest city, was heavily bombed on Wednesday (March 2). Russia's attack on Ukraine has caused more than 870000 people to flee their homes. The United Nations General Assembly adopted a resolution by an overwhelming majority, denouncing Russia's invasion of Ukraine "in the strongest possible terms". The West has imposed a series of sanctions on Russia and raised fears of a broader conflict. A new round of sanctions announced by the White House banned the export of specific refining technologies to Russia, making it more difficult and expensive for Russia to modernize its refineries. Fed Chairman Colin Powell said on Wednesday that the Fed would raise interest rates "cautiously" at its upcoming March meeting, but would be prepared to take more aggressive action if inflation did not fall as quickly as expected. On the daily line, gold may start an upward trend of five waves from $1779. According to the hour chart, the gold price may start to adjust the (c) wave from US $1950, but the (c) wave trend is expected to restrain, standing firmly at the US $1915 retracement position of the (a) wave 38.2% Fibonacci. (a) wave and (c) wave are adjusted from $1974 to ((ii)) prodigal wave, ((ii)) wave is the sub-wave of five waves.
