Gold Prices Edge Lower as Dollar Strengthens and Uncertainty Over Fed Leadership Eases
Gold prices declined on Thursday, weighed down by a stronger U.S. dollar and easing market concerns following comments from President Donald Trump, who indicated that it is "highly unlikely" he would dismiss Federal Reserve Chair Jerome Powell.
Spot gold fell by 0.2% to $3,340.79 per ounce , while U.S. gold futures dropped by 0.4% to $3,347.10 per ounce.
The dollar index rose by 0.1% against a basket of major currencies, making gold more expensive for holders of other currencies. The renewed strength of the dollar comes as market tensions over the Fed’s leadership appear to be diminishing.
Investor focus shifted after recent signals from Washington. Although reports had suggested that Trump was considering the removal of Jerome Powell, his latest comments indicated otherwise. While he reiterated criticism over the Fed’s reluctance to cut interest rates, he emphasized that there are currently no plans to replace Powell—reducing market speculation and calming investor nerves.
In the broader precious metals market:
- Silver edged up by 0.1% to $37.98 per ounce.
- Platinum gained 0.2%, reaching $1,419.67 per ounce.
- Palladium slipped 0.1% to $1,230.14 per ounce.
