BENGALURU: Although uncertainties from US tariffs on trade partners provided support, gold prices stayed steady on Friday and were on track for a third straight weekly loss due to pressure from a stronger currency and waning prospects for US rate reduction. At 12:34 p.m. Saudi time, spot gold was stable at $3,293.56 an ounce. Bullion has lost 1.4% of its value this week. The price of US gold futures dropped 0.1 percent to $3,344.60. For other currency holders, gold became more costly as the dollar index reached its highest level since May 29.
“For the remainder of 2025, gold is still impacted by less bets on Fed rate decreases. The Fed’s hesitation to commit to a rate decrease was further supported by this week’s PCE data, weekly unemployment claims, and the US GDP, according to Han Tan, chief market analyst at Nemo.Money. On Wednesday, the Fed tempered expectations for a rate decrease in September and kept rates unchanged in the 4.25 to 4.5 percent range.
Ahead of a trade deal deadline on Friday, US President Donald Trump pushed on with his promises to reorganize the world economy by imposing high tariffs on exports from dozens of trading partners, including Canada, Brazil, India, and Taiwan. However, given the still-unknown effect of US tariffs on global economic development, Tan stated that the precious metal should continue to be supported.
Also Read:
Zelensky Claims That his First Conversation With Polish President-Elect Nawrocki Went Well
In Q2, The Saudi Economy Grew 3.9% Thanks to Non-Oil Activities
