Mitsubishi UFJ: Strong US Economic Data Puts Pressure on Gold as Markets Await Clearer Outlook

According to Jinse Finance, gold futures edged higher amid relatively light trading, but due to uncertainty over the Federal Reserve’s rate cut prospects and resilient U.S. economic data, gold prices are expected to post a slight weekly decline. Analysts at Mitsubishi UFJ stated in a report that strong initial jobless claims and retail sales data have kept the market cautious ahead of the next Fed meeting. Nevertheless, driven by geopolitical risks and concerns over dollar-denominated assets triggered by a weaker U.S. dollar, gold prices have still risen 27% year-to-date. The analysts added that as the market awaits further clarity on U.S. trade policy, tariffs, and the outlook for rate cuts, gold prices have recently been fluctuating within a range.