Gold Ticks Lower on Lower Expectations for U.S. Interest Cut

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Dow Jones NewsAug 18, 3:38 PM UTC
DJ Gold Ticks Lower on Lower Expectations for U.S. Interest Rate Rut -- Market Talk

1538 GMT - Gold futures edge lower on a stronger U.S. dollar and lower expectations for monetary policy easing. Futures are down 0.1% at $3,378.90 a troy ounce. The precious metal is down 0.7% on week as U.S. tariff-driven inflation dims interest rate cut hopes, MUFG analysts say in a note. A sharp increase in U.S. wholesale inflation in July has left markets scaling back expectations for a rate cut in September, lowering the appeal of non-interest bearing bullion, MUFG says. While markets still expect up to two rate cuts this year, traders are closely watching geopolitical developments. President Trump is meeting Ukraine's Volodymyr Zelensky today, which could affect gold's safe-haven demand, MUFG writes. Still, gold remains up nearly 28% in the year to date, supported by geopolitical tensions, economic concerns and diversification away from the dollar, analysts add. ([e-mail])

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August 18, 2025 11:38 ET (15:38 GMT)

 
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