Gold Price Falls Below $3,300 After Tariff News and Stronger US Dollar
On May 29, 2025, gold prices dropped below $3,300 per ounce, reaching their lowest level in a week. This drop came after a U.S. court blocked most of President Donald Trump’s planned tariffs. This decision made the U.S. dollar stronger. A stronger dollar usually makes gold more expensive for buyers using other currencies, which lowers demand.
Some investors started buying gold as the price fell, thinking it might go up again. However, gold didn’t recover much because the trade situation between the U.S. and the European Union improved. President Trump delayed a planned 50% tariff on EU goods, giving both sides until July 9 to make a deal.
Gold is currently moving within a tight price range. Important resistance levels are at $3,300 and $3,350. The overall trend still shows some strength. But if the price drops below $3,250, it could fall further to around $3,200 or even $3,150.
Impact: If the U.S. dollar keeps gaining and trade tensions ease, gold prices might remain weak. But if new economic or political problems arise, demand for gold could increase again.