Gold Prices Fall As US Tariff Tensions Ease

Gold prices fell on Wednesday, April 30, 2025, as the US dollar strengthened amid signs of easing trade tensions.

Investors are now awaiting key US economic data that could influence the Federal Reserve’s next move on interest rates.

Spot gold declined by 0.4% to $3,302.58/oz as of 4:30 AM GMT, while US gold futures dropped 0.7% to $3,310.70/oz.

According to Nicholas Frappell, Global Head of Institutional Markets at ABC Refinery, the US dollar index gained 0.1% against major currencies, making gold more expensive for holders of other currencies and exerting downward pressure on bullion.

“There was a minor recovery in broad dollar strength, which led to a little bit of retracement in gold,” he noted.

This decline follows a recent rally that pushed gold prices to an all-time high of $3,500.05/oz on April 22, fueled by global economic uncertainty and market volatility.

The pullback comes after US President Donald Trump signed two executive orders aimed at mitigating the impact of auto tariffs.

Additionally, the US trade team announced its first agreement with a foreign partner since the latest wave of tariffs began.

Investors are now closely watching for the release of key data, including the US Personal Consumption Expenditures (PCE) price index later today and the nonfarm payrolls report due on Friday.

Markets are currently pricing in a total of 95 basis points in Fed rate cuts by the end of the year.