The post Gold price skyrockets on soft US data, falling US yields and geopolitical jitters appeared on BitcoinEthereumNews.com.

Gold rebounds from $3,120 weekly low as US yields fall and DXY weakens, boosting safe-haven appeal. April US PPI and Retail Sales miss expectations, prompting markets to fully price in two Fed cuts for 2025. Ukraine-Russia tensions resurface as Putin refuses peace talks, adding geopolitical premium to Bullion. Gold price rallied sharply on Thursday after hitting a weekly low of $3,120, posting solid gains of over 1.40%, boosted by broad US Dollar weakness due to a nifty Producer Price Index (PPI) report in the United States (US). This, along with falling US bond yields, keeps XAU/USD trading at $3,228 at the time of writing. The yellow metal began to rise in anticipation of US PPI data, which in April came surprisingly below estimates and March’s data. At the same time, Retail Sales for the same period slowed as households front-loaded motor vehicle purchases, and job data revealed by the US Department of Labor showed that the number of Americans filing for unemployment claims was in line with estimates. The data triggered a reaction in the fixed-income markets, prompting markets to fully price in two interest rate cuts by the Federal Reserve (Fed) in 2025, with the first one expected in September. Another reason behind Gold’s advance might be Russian President Vladimir Putin’s reluctance to meet with Ukrainian President Volodymyr Zelenskyy in Turkey to discuss a resolution of their conflict. Given the fundamental backdrop, Gold is set to extend its gains. However, the US-China trade war de-escalation was a headwind for the yellow metal, which witnessed a loss of over $120 as XAU/USD’s prices drifted to $3,200. Ahead this week, the US economic docket will feature housing data, and traders will eye the University of Michigan Consumer Sentiment preliminary survey for May. Daily digest market movers: Weak US data and collapsing…

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Filed under: News - @ May 16, 2025 12:18 am