Gold slips as easing trade tensions dampen demand

October 27, 2025 (MLN): Gold prices retreated on Monday as a firmer U.S. dollar and progress in trade discussions between Washington and Beijing reduced demand for the safe-haven asset.

Investors are now turning their attention to several key central bank meetings scheduled later this week for signals on future monetary policy.

Spot gold was down 1.04% at $4,069.28 an ounce as of [12:48 pm] PST, according to data reported by Mettis Global.

U.S. gold futures for December delivery dropped 1.3% to $4,085.60.

Over the weekend, U.S. and Chinese economic officials outlined a potential trade agreement that Presidents Donald Trump and Xi Jinping are expected to review later this week.

The U.S. dollar strengthened to a more than two-week high against the Japanese yen, making bullion less attractive to investors holding other currencies.

Markets largely anticipate the Federal Reserve will trim interest rates by 25 basis points on Wednesday, following last week’s weaker-than-expected inflation data.

With the rate cut already priced in, investors will be watching Fed Chair Jerome Powell’s comments for clues about the path ahead.

Gold, which does not offer a yield, typically benefits when interest rates are low.

Among other precious metals, spot silver slipped 1.3% to $48.04 per ounce, platinum eased 0.1% to $1,604.80, and palladium dropped 0.8% to $1,418.

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