Gold Faces Weekly Decline Amid Market Uncertainty
Gold prices are poised for a 2% weekly loss, with Gold Aug 25 (GC=F) dropping 0.8% during morning trade. Investors await the US personal consumption expenditures price index, the Fed’s preferred inflation gauge, due later today. Kelvin Wong, senior analyst at Oanda Asia Pacific Pte, attributes the sell-off to technical factors, noting gold’s failure to breach the $3,328 resistance level twice this week.
Market turbulence persists after a federal appeals court granted TRUMP a temporary reprieve on tariffs, while tensions with China resurface. US Treasury Secretary Scott Bessent described talks with Beijing as "a bit stalled," following White House actions to cancel Chinese student visas and restrict chip-design software sales. These developments have drawn swift protests from China.
Despite the downturn, gold retains its safe-haven appeal. Goldman Sachs Group Inc. reaffirmed its inclusion in long-term portfolios as a hedge against rising uncertainty.