Will Gold Holds Above $3,000 Despite Pressure from Rising Dollar

Gold prices took a dip in Asian trading on Friday, stepping back from their recent all-time highs as a resurgent U.S. dollar applied pressure. Investors seem convinced that the Federal Reserve will keep interest rates steady for now, amid swirling uncertainties about the U.S. economy and President Donald Trump‘s looming trade tariffs. Despite the pullback, gold remains perched above the $3,000-per-ounce mark it crossed just last week—a sign that its safe-haven appeal hasn’t faded.

Spot gold slipped 0.5% to $3,029.61 an ounce, while May gold futures edged down 0.2% to $3,037.09 an ounce, recorded at 00:57 ET (04:57 GMT). Earlier this week, spot prices had peaked at a record $3,057.51 an ounce. The yellow metal‘s resilience comes even as the dollar claws back ground lost after the Fed’s latest meeting, bolstered by expectations of unchanged rates amid economic jitters and Trumps tariff threats.

The Fed‘s decision this week to hold rates steady wasn’t a surprise, but its cautious tone stood out. With sticky inflation lingering and Trump‘s trade policies casting a shadow, the central bank also trimmed its 2025 growth outlook while nudging up its inflation forecast. Traders brushed off Trump’s repeated calls for rate cuts, betting instead that the Fed will wait for clearer signals on economic health and tariff impacts. That shift has fueled the dollars rise, putting a squeeze on gold.

Yet, gold‘s safe-haven status keeps it in the game. Uncertainty—whether from economic slowdown fears or Trump’s aggressive tariff plans—continues to drive demand. It‘s a tug-of-war: the dollar’s strength is a headwind, but golds role as a refuge in turbulent times gives it staying power above $3,000. Will it hold? That depends on how these forces balance out in the weeks ahead.

Other metals aren‘t faring as well. Platinum futures dropped 0.7% to $987.15 an ounce, and silver futures fell 0.8% to $33.735 an ounce, both feeling the dollar’s weight. Copper, meanwhile, pulled back after a strong run. London Metal Exchange copper futures dipped 0.2% to $9,910.30 a ton, and May copper futures slid 0.3% to $5.1020 a pound. The red metal had spiked past $10,000 a ton earlier this week, riding speculation of tighter U.S. supplies due to Trumps proposed 25% tariffs on copper imports. In China, the top copper buyer, smelters are scaling back amid shortages, hinting at higher prices ahead.

For gold, the $3,000 level feels like a psychological battleground. Investors are watching closely—does it have the muscle to defy a rising dollar, or will the Fed‘s steady hand and Trump’s trade gambits tip the scales? The safe-haven demand is there, but the dollar‘s momentum can’t be ignored. Its a nail-biter for anyone tracking the markets.

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