Gold prices are holding near the $5,000 mark on Wednesday. Following a sharp rally, a pullback was widely anticipated and did not come as a surprise to markets. At the same time, underlying fundamentals have changed little, with the broader geopolitical and economic backdrop largely unchanged.

Goldman Sachs said it sees meaningful upside risk to its year-end gold forecast of $5,400, citing continued buying by central banks at recent rates and increased inflows into gold ETFs from private investors.

Markets are now looking to the ADP private payrolls report for further clues on the future path of U.S. Federal Reserve policy, while a partial government shutdown has postponed the release of the closely watched January employment report.