WASHINGTON (dpa-AFX) - Gold prices continued to fall on Thursday for the second-straight session, as the US clinched favorable trade deals with major economic partners with August 1 deadline closing in, diminishing the demand for safe-haven assets.
Front Month Comex Gold for July delivery fell by $23.10 (or 0.68%) to $3,371.00 per troy ounce today.
Front Month Comex Silver for July delivery, lost by 25.70 cents (or 0.65%) to $39.021 per troy ounce today.
US President Donald Trump today reworded his threat stating that imports into the US could face tariffs ranging from 15% to 50% for countries that fail to sign a suitable deal past the August 1 deadline.
As the deadline for extension of 'reciprocal tariffs' is nearing, high-level officials from Canada, South Korea, India and the EU are working hard to break the deadlock with the US.
A framework of agreement on tariffs has been finalized by US with UK, China, Vietnam, Indonesia, Philippines, and Japan.
This information coming one after another in the recent past weeks has toned down the fear of tariffs and boosted the confidence in investors about a streamlined tariff regime to emerge, sooner or later. Hence, investors turned away from safe-haven yellow metal.
US data on jobs and retail sales released in the past few days had bolstered the US Fed's stance on keeping the interest rates steady with no urgency to slash anytime sooner. Trump expressed his displeasure on this as he favors a rate cut of around 3 percentage points.
Today, the data provided by the US Commerce Department revealed that initial jobless claims in the US fell by 4,000 from the previous week to 217,000 in the third week of July.
Continuing Jobless Claims in the United States has increased to 19,55,000 in the week ending July 12 from 19,51,000 in the previous week.
S&P Global Composite PMI Output Index rose to 54.6 in July 2025 from 52.9 in June, marking the fastest pace of growth in 2025.
Sales of new single-family homes in the United States rose 0.6% in June 2025.
While high price of gold has dampened jewelry purchases by consumers in China and India, gold bars and coins have been stocked up by central bankers, indicative of its strong appeal.
On the geopolitical front, the Red Sea attacks on bulk cargo ships by Yemen's Houthi rebels earlier this month has not seen any retaliation from US and the West so far, though Israel and Houthi rebels are trading drone and missile attacks.
The decline in yellow metal due to eroding trade tensions has been buffered by this simmering geopolitical tension.
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