Gold prices extended losses during Wednesday’s Asian session, falling to $3,301 per ounce.
Gold has had an impressive start to 2025 – the Q1 figures are in, and amid record prices, it was the strongest first quarter for total demand since 2016. Get the data in Gold Demand Trends.
— World Gold Council (@GOLDCOUNCIL) April 30, 2025
Silver hovered near $32.86 as renewed optimism over global trade and a firmer U.S. dollar weighed on traditional safe-haven assets. The U.S. Dollar Index (DXY) climbed for a second consecutive day, holding above the 99.00 mark.
This limited bullion’s appeal for foreign buyers. The move followed policy shifts aimed at easing trade restrictions. Most notably, the U.S. administration’s decision to extend certain trade requirement timelines by two years.
Tomorrow we bring you our latest #GoldDemandTrends report, reviewing Q1 2025. We explore how much #gold was bought and sold across sectors, from central banks to jewellery. pic.twitter.com/hbnod232Fr
— World Gold Council (@GOLDCOUNCIL) April 29, 2025
This decision lifted broader market sentiment, encouraging a rotation into risk assets and away from gold and silver.
#Commodities update from daily Quick Take:#Gold pushed higher on Monday as the US dollar and bond yields fell on weak activity data from the Dallas Fed, and as the trade war with China showed no signs of easing, only to suffer a fresh setback overnight towards USD 3,300,…
— Ole S Hansen (@Ole_S_Hansen) April 29, 2025
Despite short-term weakness, gold continues to find support from mounting expectations that the Federal Reserve could soon begin easing policy. The latest JOLTS report showed U.S. job openings fell to 7.19 million in March, the lowest since September 2024.
Meanwhile, consumer confidence slumped to 86.0, its weakest reading in nearly five years.
Total Q1 #gold demand (incl. OTC investment) was 1% higher y/y at 1,206t – the highest for a first quarter since 2016. A sharp revival in gold ETF inflows and continued central banks buying drove this demand. Our new Gold Demand Trends report has just been published on Goldhub! pic.twitter.com/8GN94GCTsk
— Krishan Gopaul (@KrishanGopaul) April 30, 2025
These soft data points have reinforced expectations for rate cuts, with markets now pricing in a 56.8% chance of a reduction in the upcoming policy cycle. Lower rates typically benefit non-yielding assets like gold and silver, which do not offer interest but serve as a store of value during economic uncertainty.
Although trade optimism has curbed safe-haven flows, persistent geopolitical tensions continue to provide a supportive backdrop. Particularly in Eastern Europe. While not the primary driver this week, these risks have kept the downside in precious metals contained.
Market participants now await a series of high-impact U.S. economic releases. These include Wednesday’s ADP employment data, Advance Q1 GDP, and the Core PCE Price Index. The outcome of these reports, along with Friday’s employment data, will likely define the short-term direction for both gold and silver as investors assess the Fed’s next move.
Gold pressured by strong US dollar
Gold and silver remain range-bound as traders weigh soft U.S. data against trade optimism. Key breakouts hinge on upcoming economic releases and trendline support.
Gold on the 2-hour chart is holding near $3,309, just above an ascending trendline that’s been in place since mid-April. The price is hovering between the 50 EMA ($3,319) and a key support level at $3,300. The 200 EMA offers a deeper cushion at $3,258.
The recent candles show indecision, with small-bodied ranges and long wicks. This is typical of a market awaiting a catalyst. As long as the trendline and $3,300 hold, the structure remains cautiously bullish.
A decisive close above the $3,320-$3,330 zone could re-energize buyers toward $3,369. However, if this support cluster gives way, watch for a deeper pullback toward $3,260 or even $3,205. For now, gold is treading water, balanced between patience and potential.
Silver is holding at $32.86 after briefly dipping into the key support zone around $32.66. Here it found buyers along an ascending trendline that’s been respected since mid-April. The price is sandwiched between this rising support and a descending resistance line from recent highs, forming a converging wedge.
The 50 EMA ($33.07) and 200 EMA ($32.70) are providing near-term structure, with the 200 EMA helping stabilize today’s pullback. Candles show long wicks near support, signaling buying interest, though momentum remains mixed. A break above $33.19 could open a push toward $33.70, but failure to hold $32.66 risks a drop toward $32.13.
For now, silver is coiled at a decision point. Bulls need volume and follow-through to reclaim control.
