Gold Price Forecast: XAU/USD attracts some sellers below $3,250 on firmer US Dollar

Mitrade
coverImg
Source: DepositPhotos

Gold price tumbles to around $3,245 in Thursday's early Asian session, down 1.25% on the day. 


De-escalation in trade tensions and a firmer US Dollar weigh on the Gold price.


US April employment report on Friday will be closely monitored. 


The Gold price (XAU/USD) extends the decline to around $3,245 during the early Asian session on Thursday. The precious metal edges lower to near a two-week low amid easing US-China trade tensions and stronger US Dollar (USD) demand. 


Risk sentiment is improving after US President Donald Trump on Tuesday signed an executive order aimed at easing tariffs on foreign auto parts, granting carmakers a two-year window to raise domestic sourcing. Additionally, US Treasury Secretary Scott Bessent emphasized “very good” offers from trade partners.


US trade representative Jamieson Greer said late Wednesday that US President Donald Trump’s administration expects to conclude initial tariff deals with some US trading partners within weeks. Optimism surrounding tariffs lifts the Greenback and weakens demand for traditional safe-haven assets like Gold as it makes yellow metal more expensive for holders of other currencies.


On the other hand, rate cut hopes from the US Federal Reserve (Fed) after weaker-than-expected US economic data might help limit the yellow metal’s losses. The US economy contracted at an annualised rate of 0.3% in the first quarter (Q1) of 2025, according to the US Commerce Department on Thursday. This figure came in weaker than the estimation of 0.4% and down from the previous reading of a 2.4% expansion. 


Futures contracts see the Fed starting rate cuts in June, with a total of four quarter-point reductions expected, lowering the rate to the 3.25%-3.50% band by year-end. Investors will closely watch the US April employment data due on Friday for fresh impetus. The NFP is expected to show 130K job additions in April, while the Unemployment Rate is estimated to remain at 4.2%. 

Read more

  • Gold stalls Friday's pullback from record peak on trade tensions, Fed rate cut bets
  • Pound Sterling weakens against US Dollar ahead of US Manufacturing PMI data
  • Silver Price Forecast: XAG/USD stabilizes above $52 after healthy correction
  • EUR/USD moves above 1.1700 as France’s government survives a no-confidence vote
  • Japanese Yen hangs near one-month low against USD
  • Australian Dollar remains stronger following Westpac Consumer Confidence
  • * The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

    goTop
    quote
    Related Articles
    placeholder
    Gold softens amid modest USD strength; downside potential seems limitedGold (XAU/USD) eases from the vicinity of the record high during the Asian session on Tuesday, though any meaningful slide still seems elusive amid a supportive fundamental backdrop.
    Author  FXStreet
    16 hours ago
    Gold (XAU/USD) eases from the vicinity of the record high during the Asian session on Tuesday, though any meaningful slide still seems elusive amid a supportive fundamental backdrop.
    placeholder
    "No Kings" Protests: If It Persists, Sell U.S. Stocks and Buy Gold1. IntroductionTradingKey - On the morning of Saturday, 18 October, large-scale demonstrations broke out in multiple U.S. cities, where people protested against Trump's policies. Rallies were held in
    Author  TradingKey
    18 hours ago
    1. IntroductionTradingKey - On the morning of Saturday, 18 October, large-scale demonstrations broke out in multiple U.S. cities, where people protested against Trump's policies. Rallies were held in
    placeholder
    Gold climbs to near fresh record high above $4,350 amid broader uncertaintyGold price (XAU/USD) holds positive ground around $4,370 after reaching a fresh record high near $4,380 during the early Asian session on Tuesday.
    Author  FXStreet
    20 hours ago
    Gold price (XAU/USD) holds positive ground around $4,370 after reaching a fresh record high near $4,380 during the early Asian session on Tuesday.
    placeholder
    Gold stalls Friday's pullback from record peak on trade tensions, Fed rate cut betsGold (XAU/USD) edges higher at the start of a new week and, for now, seems to have stalled its sharp retracement slide from the all-time peak, touched on Friday.
    Author  FXStreet
    Yesterday 05: 47
    Gold (XAU/USD) edges higher at the start of a new week and, for now, seems to have stalled its sharp retracement slide from the all-time peak, touched on Friday.
    placeholder
    Gold-backed PAXG hits record volumes, trades at premium to spotPAXG traded at a premium on Binance, based on an anomalous price spike above $5,000, which liquidated short positions.
    Author  Cryptopolitan
    Oct 17, Fri
    PAXG traded at a premium on Binance, based on an anomalous price spike above $5,000, which liquidated short positions.
    Live Quotes
    Name / SymbolChart% Change / Price
    XAUUSD
    XAUUSD
    0.00%0.00

    Gold Related Articles

    • What Is Platinum? Is the Platinum Price Higher Than The Gold Price?
    • Gold price forecast 2024/2025/2026: How to analyze the gold price trend?
    • Types of gold: How to build a gold investment plan
    • Where to invest money in 2024? Best companies to invest in the Philippines
    • How To Invest In Gold - 5 Best Ways To Invest In Gold For Beginners

    Click to view more