Gold prices fall as market sentiment on global trade turns more positive

DNVN - The precious metal fell for a second consecutive session on July 24, as signs that global trade tensions were easing undermined gold's safe-haven status.

Illustration photo. Photo: Internet

At 0:45 a.m. on July 25, Vietnam time, spot gold price decreased by 0.5% to 3,370.69 USD/ounce; meanwhile, gold futures contract in the US ended the session with a decrease of 0.7% to 3,373.5 USD/ounce.

Market sentiment is positive on the possibility of trade deals between the US and its partners, first Japan and now possibly the European Union (EU), said Aakash Doshi of brokerage firm State Street Investment Management, adding that gold’s rally is being hampered by strong and low-volatility equity markets.

Progress is being reported in trade talks between the US and the EU, which could include a 15% base tariff that the US would impose on EU goods. This follows the announcement of a separate deal between Washington and Japan earlier this week.

President Donald Trump made a surprise visit to the US Federal Reserve (Fed) late in the day, a move that added to uncertainty surrounding the direction of monetary policy.

Mr. Trump’s actions come as he repeatedly “complains” about Fed Chairman Jerome Powell for not lowering interest rates more aggressively. Mr. Doshi commented that any sign of interference in the Fed’s independence could become a factor supporting gold prices in the medium to long term.

The Fed is expected to keep interest rates unchanged at its meeting on July 29-30, but investors are still hoping for a cut in September. Gold is sensitive to US interest rate policy, as lower interest rates will weaken the USD but at the same time increase the appeal of non-interest-bearing assets such as gold.

In economic data, the number of applications for unemployment benefits in the US unexpectedly fell last week, reflecting that the labor market remains stable, although hiring activity has slowed and workers are having more difficulty finding jobs.

In other precious metals markets, spot silver prices fell 0.7% to $39.02 an ounce, while platinum prices also fell 0.5% to $1,405.15 an ounce.

In the domestic market, early morning of July 25, Saigon Jewelry Company listed the buying and selling price of SJC gold at 119.70 - 121.70 million VND/tael.

Cao Thong

Source: https://doanhnghiepvn.vn/kinh-te/gia-vang-sut-giam-khi-tam-ly-thi-truong-ve-thuong-mai-toan-cau-tich-cuc-hon/20250725094913159