Trump-Xi Call Eases U.S. Tensions; Gold Drops Below $5,000

Gold prices tumbled below the psychologically critical $5,000 mark as geopolitical tensions between the U.S. and China showed signs of easing. The precious metal slid to $4,946.53, a 0.01% decline, after briefly touching $5,080 earlier in the session. Market analysts attribute the sell-off to President Trump's remarks signaling improved relations with Beijing.

The downward momentum accelerated as stop orders triggered below key support levels, with buyers only showing tentative interest in the $4,920-$4,940 range. This reversal interrupts gold's strong performance earlier in the year, reflecting a broader shift in risk sentiment across financial markets.

Digital assets moved in tandem with precious metals, suggesting correlated behavior between traditional SAFE havens and cryptocurrency markets during periods of geopolitical uncertainty. The synchronous decline underscores how macroeconomic developments continue to influence both asset classes.