Gold prices went down after hitting a new highest level of $4,643 in the last trading session.
The non-interest-bearing gold slips because strong US data are making people think the Fed will keep interest rates the same.
Safe-haven Gold is losing value as reduced tensions in the geopolitical situation come to light after Trump mentioned that the killings linked to Iran's crackdown are decreasing.
Gold (XAU/USD) dropped a bit after reaching a new high of $4,643 the day before, and on Thursday it was trading near $4,600 per troy ounce. The price of gold, which does not pay interest, fell because stronger-than-expected US Producer Price Index (PPI) and Retail Sales data, along with a lower-than-expected unemployment rate from last week, made it more likely that the US Federal Reserve will keep interest rates the same for the next few months.
Safe-haven gold prices also went down, partly because worries about world politics were getting a bit better. US President Donald Trump mentioned that reports suggested Iran's actions related to crackdowns were slowing down and that there were no plans for big executions. However, he didn't say for sure that the US wouldn't take military action, and he said Washington would keep watching the situation, as reported by Reuters.
People are turning to precious metals like gold for safety, and this trend might continue because there are new worries about the Fed's independence. The head of the Federal Reserve, Jerome Powell, criticized the Trump administration for trying to get him through a legal request, calling it a way to pressure the Fed into making easier money policies. Trump said on Wednesday he doesn't plan to fire Powell, even though there's a criminal investigation into Powell by the Justice Department. But he also said it's too early to know what his final decision will be.
Daily Digest Market Movers: Gold prices go down because the US Dollar becomes stronger.
The US Dollar Index (DXY), which shows how strong the US Dollar is compared to six major currencies, is now rising after losing a little value the day before. Right now, the DXY is at about 99.10, which is making people less interested in buying gold that's priced in dollars.
The US Census Bureau said on Wednesday that retail sales increased more than expected to $735.9 billion in November, up 0.6%, after a 0.1% drop in October and better than the 0.4% rise that many people thought would happen. At the same time, the Producer Price Index (PPI) showed strong growth in November, with both the overall and core measures rising 3% compared to the same time last year.
Morgan Stanley analysts pushed back their predictions for interest rate cuts from January and April to June and September after seeing the jobs report on Friday.
Minneapolis Fed President Neel Kashkari spoke at an online event called the Midwest Economic Forecast Forum, organized by the Wisconsin Bankers Association on Wednesday. He said the overall economy looks strong and has shown more resilience than expected. Kashkari also mentioned that he has noticed less impact from tariffs than he thought. He pointed out that while inflation is still too high, it is heading in the right direction.
The Fed's Beige Book said that U.S. economic activity grew a bit or somewhat in most areas since mid-November. This is better than the past three reports, where most Fed regions saw little to no change.
The US Core Consumer Price Index, which doesn't include food and energy, went up by 0.2% in December, which was lower than what people expected. The yearly rate of core inflation stayed at 2.6%, which is the lowest it has been in four years. This data shows that inflation is slowing down, especially after some earlier numbers were affected by the shutdown. At the same time, the overall CPI rose by 0.3% in December 2025, which matched what experts had predicted and was the same as the increase in September. The yearly inflation rate remained at a 2.7% increase, just as expected.
A US-based human rights group called HRANA said on Wednesday that the number of people who have died in Iran's protests has gone up to 2,571. US President Donald Trump has asked Iranians to keep protesting and has promised that help is coming, according to Reuters.
President Trump said on Monday that he would put a 25% tax on products from any country that is doing business with Iran. This move is meant to increase pressure on Tehran during large protests happening inside the country. He mentioned that the tax will start right away, but he didn’t give more information. On Sunday, Trump warned that action might happen before any talks, even though he said Iran’s leaders have tried to reach out to discuss things after his military threats.
US Nonfarm Payrolls increased by 50,000 in December, which is less than the 56,000 jobs added in November (which was later revised upward to 64,000). This number was also lower than what analysts expected, which was around 60,000. On the other hand, the unemployment rate dropped slightly to 4.4% in December from 4.6% in November. Additionally, the average hourly earnings rose to 3.8% year-over-year in December, up from 3.6% in the previous month.
Gold buyers are still holding on as prices stay above the rising nine-day EMA.
Gold (XAU/USD) is currently trading near $4,600 on Thursday. Looking at the daily chart, the XAU/USD pair is still inside an emerging ascending wedge pattern. This pattern suggests that the upward movement is losing strength and could lead to a downward turn if the price drops below the lower trendline, especially with strong volume.
The price of gold remains above the nine-day Exponential Moving Average (EMA), which is rising, helping to keep the short-term upward trend strong. The 50-day EMA is also moving higher and supports the overall positive outlook. The 14-day Relative Strength Index (RSI) is at 66.05, which is still in the positive range but not too high. If the momentum slows down, the RSI might drop towards the middle, but if it stays high, it could keep the price moving higher.
The price faces strong resistance right now at the high of $4,643, and then again near the top of the rising wedge at around $4,660. If the price goes above these levels, it could rise to $4,700. If it goes down, the first support is at the nine-day EMA level of $4,535.64, and then there's another support at the bottom of the rising wedge near $4,490.00.
The non-interest-bearing gold slips because strong US data are making people think the Fed will keep interest rates the same.
Safe-haven Gold is losing value as reduced tensions in the geopolitical situation come to light after Trump mentioned that the killings linked to Iran's crackdown are decreasing.
Gold (XAU/USD) dropped a bit after reaching a new high of $4,643 the day before, and on Thursday it was trading near $4,600 per troy ounce. The price of gold, which does not pay interest, fell because stronger-than-expected US Producer Price Index (PPI) and Retail Sales data, along with a lower-than-expected unemployment rate from last week, made it more likely that the US Federal Reserve will keep interest rates the same for the next few months.
Safe-haven gold prices also went down, partly because worries about world politics were getting a bit better. US President Donald Trump mentioned that reports suggested Iran's actions related to crackdowns were slowing down and that there were no plans for big executions. However, he didn't say for sure that the US wouldn't take military action, and he said Washington would keep watching the situation, as reported by Reuters.
People are turning to precious metals like gold for safety, and this trend might continue because there are new worries about the Fed's independence. The head of the Federal Reserve, Jerome Powell, criticized the Trump administration for trying to get him through a legal request, calling it a way to pressure the Fed into making easier money policies. Trump said on Wednesday he doesn't plan to fire Powell, even though there's a criminal investigation into Powell by the Justice Department. But he also said it's too early to know what his final decision will be.
Daily Digest Market Movers: Gold prices go down because the US Dollar becomes stronger.
The US Dollar Index (DXY), which shows how strong the US Dollar is compared to six major currencies, is now rising after losing a little value the day before. Right now, the DXY is at about 99.10, which is making people less interested in buying gold that's priced in dollars.
The US Census Bureau said on Wednesday that retail sales increased more than expected to $735.9 billion in November, up 0.6%, after a 0.1% drop in October and better than the 0.4% rise that many people thought would happen. At the same time, the Producer Price Index (PPI) showed strong growth in November, with both the overall and core measures rising 3% compared to the same time last year.
Morgan Stanley analysts pushed back their predictions for interest rate cuts from January and April to June and September after seeing the jobs report on Friday.
Minneapolis Fed President Neel Kashkari spoke at an online event called the Midwest Economic Forecast Forum, organized by the Wisconsin Bankers Association on Wednesday. He said the overall economy looks strong and has shown more resilience than expected. Kashkari also mentioned that he has noticed less impact from tariffs than he thought. He pointed out that while inflation is still too high, it is heading in the right direction.
The Fed's Beige Book said that U.S. economic activity grew a bit or somewhat in most areas since mid-November. This is better than the past three reports, where most Fed regions saw little to no change.
The US Core Consumer Price Index, which doesn't include food and energy, went up by 0.2% in December, which was lower than what people expected. The yearly rate of core inflation stayed at 2.6%, which is the lowest it has been in four years. This data shows that inflation is slowing down, especially after some earlier numbers were affected by the shutdown. At the same time, the overall CPI rose by 0.3% in December 2025, which matched what experts had predicted and was the same as the increase in September. The yearly inflation rate remained at a 2.7% increase, just as expected.
A US-based human rights group called HRANA said on Wednesday that the number of people who have died in Iran's protests has gone up to 2,571. US President Donald Trump has asked Iranians to keep protesting and has promised that help is coming, according to Reuters.
President Trump said on Monday that he would put a 25% tax on products from any country that is doing business with Iran. This move is meant to increase pressure on Tehran during large protests happening inside the country. He mentioned that the tax will start right away, but he didn’t give more information. On Sunday, Trump warned that action might happen before any talks, even though he said Iran’s leaders have tried to reach out to discuss things after his military threats.
US Nonfarm Payrolls increased by 50,000 in December, which is less than the 56,000 jobs added in November (which was later revised upward to 64,000). This number was also lower than what analysts expected, which was around 60,000. On the other hand, the unemployment rate dropped slightly to 4.4% in December from 4.6% in November. Additionally, the average hourly earnings rose to 3.8% year-over-year in December, up from 3.6% in the previous month.
Gold buyers are still holding on as prices stay above the rising nine-day EMA.
Gold (XAU/USD) is currently trading near $4,600 on Thursday. Looking at the daily chart, the XAU/USD pair is still inside an emerging ascending wedge pattern. This pattern suggests that the upward movement is losing strength and could lead to a downward turn if the price drops below the lower trendline, especially with strong volume.
The price of gold remains above the nine-day Exponential Moving Average (EMA), which is rising, helping to keep the short-term upward trend strong. The 50-day EMA is also moving higher and supports the overall positive outlook. The 14-day Relative Strength Index (RSI) is at 66.05, which is still in the positive range but not too high. If the momentum slows down, the RSI might drop towards the middle, but if it stays high, it could keep the price moving higher.
The price faces strong resistance right now at the high of $4,643, and then again near the top of the rising wedge at around $4,660. If the price goes above these levels, it could rise to $4,700. If it goes down, the first support is at the nine-day EMA level of $4,535.64, and then there's another support at the bottom of the rising wedge near $4,490.00.
