• 2025-07-30

Double blow from China and the USA causes gold to collapse

The price of gold fell below the USD 2,300 mark on Friday afternoon after strong labor market data dashed hopes of earlier Fed rate cuts. As a result, US yields and the dollar rose, putting gold under pressure. The price collapse began earlier in the day, however, when news that China was pausing its gold purchases motivated investors to take profits. This sealed the double blow. The record hunt that took the price of gold to USD 2,450 on May 20 may have come to an abrupt end. Yesterdays red daily candle - the price of gold fell by around USD 100 - certainly does not bode well.