Gold Price News: Gold Dips as US Delays Tariffs on EU Goods

Gold prices fell on Tuesday, as the markets went back into ‘risk-on’ mode following a delay in US tariffs on EU goods, undermining support for safe haven assets.

Prices eased as low as $3,287 an ounce on Tuesday, down around 1.4% from $3,348 an ounce in late trades on Monday.

Trump extends trade talks with EU

US President Donald Trump has agreed to delay the start of 50% tariffs on EU goods until July 9, after talking with European Commission President Ursula Von der Leyen, according to news reports. The latest move brought relief to financial markets, raising interest in higher-risk assets and in turn diverting flows away from safe havens like precious metals.

The news also appeared to help the US dollar rise against other major currencies, adding to downward pressure on dollar-denominated gold prices on Tuesday.

Technical analysis

On the technical charts, on the upside, gold faces oblique major resistance at $3,385 an ounce, and on the downside, oblique minor support at $3,324 an ounce. Should prices drop below this level, the market would next face major oblique support $3,184 an ounce.

Upcoming data

Wednesday is looking light on data releases, and the markets will be looking further out to Thursday’s US GDP figures for Q1, followed by the US weekly initial jobless claims figures for an update on the American labour market.

Then Friday will bring the US PCE price index for April – the US Fed’s preferred measure of inflation — with the markets watching inflation data for clues about upcoming interest rate changes by the central bank. As of Tuesday, the markets were broadly pricing in no change to rates in June and July, although opinions are more split for September, with data showing a roughly 60% chance of a cut of at least 25 basis points at that stage.