{"id":114490,"date":"2025-05-14T13:01:35","date_gmt":"2025-05-14T09:01:35","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=114490"},"modified":"2025-05-14T13:01:38","modified_gmt":"2025-05-14T09:01:38","slug":"gold-prices-retreat-as-trade-optimism-and-soft-cpi-weigh-on-safe-haven-demand","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/gold-prices-retreat-as-trade-optimism-and-soft-cpi-weigh-on-safe-haven-demand\/05\/14\/market-updates\/","title":{"rendered":"Gold Prices Retreat as Trade Optimism and Soft CPI Weigh on Safe-Haven Demand"},"content":{"rendered":"\n<p><\/p>\n\n\n\n<p>Gold prices declined in Asian trading on Wednesday, pressured by diminishing safe-haven demand after the U.S. and China agreed to a temporary tariff truce and U.S. inflation data came in softer than expected.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Spot gold<\/strong> fell <strong>0.7% to $3,228.95\/oz<\/strong><\/li>\n\n\n\n<li><strong>Gold futures (June)<\/strong> slipped <strong>0.5% to $3,232.24\/oz<\/strong><br><em>(As of 02:53 ET \/ 06:53 GMT)<\/em><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Soft CPI and Trade Progress Pressure Bullion<\/strong><\/h3>\n\n\n\n<p>U.S. <strong>Consumer Price Index (CPI)<\/strong> data released on Tuesday showed a slower-than-expected pace of inflation, easing concerns over the broader economic impact of elevated tariffs. The data also suggested that <strong>tariff-induced inflation<\/strong> may not materialize as strongly as feared, further reducing demand for gold as an inflation hedge.<\/p>\n\n\n\n<p>At the same time, risk appetite improved after <strong>Washington and Beijing agreed to lower their respective tariffs<\/strong> \u2014 the U.S. reducing its levies on Chinese goods from 145% to 30%, and China cutting its own from 125% to 10% \u2014 in a <strong>90-day deescalation period<\/strong>. U.S. President <strong>Donald Trump<\/strong> said Tuesday he was open to personally negotiating with Chinese President <strong>Xi Jinping<\/strong> to finalize a broader deal.<\/p>\n\n\n\n<p>These developments have cooled demand for <strong>safe-haven assets<\/strong>, like gold, as equities and other risk-driven markets rallied on hopes of <strong>stabilizing global trade<\/strong>.<\/p>\n\n\n\n<p>While the retreat in inflation may offer the <strong>Federal Reserve<\/strong> more flexibility in setting monetary policy, investors remain cautious about the Fed\u2019s next moves. <strong>Uncertainty around future rate cuts<\/strong>\u2014typically supportive for gold\u2014has added to the downside pressure on bullion.<\/p>\n\n\n\n<p>The <strong>U.S. Dollar Index<\/strong> was largely flat in early Asian trading, offering little support or resistance to gold prices.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Other Precious and Industrial Metals<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Silver futures<\/strong> fell <strong>0.6% to $32.915\/oz<\/strong><\/li>\n\n\n\n<li><strong>Platinum futures<\/strong> rose <strong>0.5% to $995.45\/oz<\/strong><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Copper Edges Higher Amid Trade Optimism<\/strong><\/h3>\n\n\n\n<p>Copper prices ticked higher on Wednesday, with sentiment buoyed by easing U.S.-China trade tensions, which are expected to <strong>support industrial demand<\/strong> \u2014 particularly in China, the world\u2019s largest consumer of copper.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>LME Copper<\/strong> rose <strong>0.2% to $9,623.65\/ton<\/strong><\/li>\n\n\n\n<li><strong>COMEX Copper (July)<\/strong> added <strong>0.1% to $4.7125\/lb<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Traders are now eyeing <strong>Thursday\u2019s U.S. Producer Price Index (PPI)<\/strong> report for further clues on inflation and the Fed\u2019s policy outlook. Strong PPI data could renew rate hike concerns, while a weak print may reinforce expectations for easing.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gold prices declined in Asian trading on Wednesday, pressured by diminishing safe-haven demand after the U.S. and China agreed to a temporary tariff truce and U.S. inflation data came in softer than expected. Spot gold fell 0.7% to $3,228.95\/oz Gold futures (June) slipped 0.5% to $3,232.24\/oz(As of 02:53 ET \/ 06:53 GMT) Soft CPI and &hellip;<\/p>\n","protected":false},"author":9,"featured_media":110167,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[38,37,36],"tags":[6885,6834,7164,11227],"class_list":["post-114490","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-forex-markets","category-market-updates","tag-fed","tag-pmi","tag-powell","tag-xau"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/114490","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=114490"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/114490\/revisions"}],"predecessor-version":[{"id":114491,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/114490\/revisions\/114491"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/110167"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=114490"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=114490"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=114490"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}