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Gold fell 0.4% to $3,323.84, its lowest level in two weeks, while the US dollar index rose 0.5% on strong trade news and hawkish Fed expectations.
Gold slipped 0.4% to $3,323.84 on Monday, marking a fourth straight daily loss and the lowest price in two weeks, as a stronger dollar and fading safe‑haven demand pressured the metal【2】.
| At a glance | |
|---|---|
| Price | $3,323.84 (‑0.4%) |
| Weekly change | ‑0.4% (second consecutive weekly loss) |
| USD Index | +0.5% (third session up) |
| Fed outlook | Rates expected unchanged at next meeting (97% probability) |
The decline came after the US‑EU trade framework was signed on Sunday, easing fears of a broader trade war and lifting risk appetite. That optimism, combined with upbeat PMI data, helped the US dollar index climb 0.5% against a basket of currencies, a move that traditionally drags gold lower because the metal is priced in dollars【2】. At the same time, the Federal Reserve’s upcoming policy meeting is expected to keep rates steady for the fourth consecutive meeting, with a CME FedWatch tool showing a 97% chance of no change and only a 3% chance of a 25‑basis‑point cut【2】. The prospect of continued “hawkish” tone from Fed officials, as noted in FXStreet’s commentary, adds further support to the greenback and weighs on non‑yielding gold【1】.
On the technical side, gold remains below its 100‑period simple moving average on the 4‑hour chart, and the Relative Strength Index sits at 37.17, indicating weak momentum【1】. Although the MACD has turned marginally positive, the price is still trapped in a corrective zone, suggesting any rebound would be modest. Fundamentally, the metal’s safe‑haven appeal was muted despite ongoing US‑Iran talks, as skepticism over a final deal persisted and geopolitical risk premiums stayed limited【1】. The combination of a firming dollar, profit‑taking from a five‑week high of $3,438.94, and expectations of higher borrowing costs if the Fed raises rates later in the year, kept buying pressure subdued.
Gold’s slide underscores how quickly safe‑haven demand can evaporate when the dollar strengthens and market sentiment turns positive, even amid lingering geopolitical uncertainty. The metal’s next move will hinge on whether inflation data or Fed commentary revive risk‑off sentiment enough to offset the dollar’s momentum.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jun 23, 2026 · How we report
ING strategists say that while Middle‑East tensions remain, the resumption of oil flows through the Strait of Hormuz has reduced supply concerns, weakening a key support pillar for gold.
Goldman Sachs revised its year‑end price target down to $4,900 per ounce from a previous $5,400.
According to Investing.com, a close above the daily mean of $4,272 would trigger a bullish shift in sentiment.
Higher‑for‑longer rate expectations increase the opportunity cost of holding non‑yielding gold, contributing to its recent price declines.
The MACD has crossed into positive territory, suggesting that downside momentum is weakening.