
Gold slips as easing geopolitical tensions weigh; US inflation data in focus
Spot gold fell 0.7% to $3,376.67 per ounce, as of 0248 GMT, after hitting its highest since July 23 on Friday.
U.S. gold futures for December delivery dropped 1.5% to $3,439.70.
"Cooling geopolitical tensions surrounding the war in Ukraine saw gold fall further, following Friday's announcement that President Donald Trump will meet with Vladimir Putin on the U.S. soil," City Index senior analyst Matt Simpson said.
Trump said on Friday he will meet Russian President Putin on August 15 in Alaska to negotiate an end to the war in Ukraine.
Focus this week will be on U.S. consumer prices due on Tuesday, with analysts expecting the impact of tariffs to help nudge the core up 0.3% to an annual pace of 3.0% and away from the Fed's target of 2%.
"A hot print could further strengthen the dollar and cap gains on gold, though I suspect support will remain in place overall as investors seek to scoop up discounts," Simpson said.
Recent softer-than-expected U.S. jobs report boosted bets for a Fed rate cut in September. Markets imply around a 90% probability of a September easing, and at least one more cut by this year end.
Non-yielding gold thrives in a low-interest rate environment.
Also on the radar are trade discussions as Trump's August 12 deadline for a deal between Washington and Beijing loomed.
Meanwhile, COMEX gold speculators increased net long position by 18,965 contracts to 161,811 in the week to August 5.
Elsewhere, spot silver fell 0.8% to $38.02 per ounce, platinum slipped 0.9% to $1,320.45 and palladium lost 0.3% to $1,122.69.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


The Independent
2 minutes ago
- The Independent
Fresh trade deal calls as Trump tariffs hit UK exports
British exports to the US have plummeted by 13.5 per cent, or £2bn, in the last three months compared to the same period in 2024. This significant decline is attributed to tariffs imposed by US President Donald Trump, which include a 10 per cent levy on most UK goods and a 25 per cent levy on steel and aluminium. The fall occurred despite a US-UK trade agreement signed in June, which failed to include carve-outs for the steel industry. The British Chambers of Commerce said that the effects of the tariffs are clearly being felt by companies exporting to the US. Ministers are now facing calls to secure the outstanding part of the trade deal, particularly concerning the high tariffs on steel and aluminium exports.


The Independent
2 minutes ago
- The Independent
Labour fails to rule out annual tuition fee rise to stop universities going bust
The education secretary has said the government is looking at allowing universities to hike tuition fees every year based on inflation to stop them going bust. It comes less than a year after Bridget Phillipson announced that fees would increase in England for the first time in eight years as part of a major overhaul of the higher education system. Tuition fees have been frozen at £9,250 since 2017, but in November, it was announced that they would increase in line with the Retail Price Index inflation in September 2025. Asked whether the government would allow universities an inflation-linked tuition fee increase every year to improve their financial situation, Ms Phillipson did not rule it out. She told BBC Radio 4's Today Programme: 'We did give universities an increase through the tuition fee increase that we delivered last year, but we'll be looking at all of these areas around the long-term financial sustainability of universities as part of that post-16 white paper that we'll set out later on this year. 'We do also believe alongside that further reform will be needed, but also working together with other institutions, like further education, to bring education, training opportunities and skills much closer to where people are, including those people – adults, in particular – who might be further away from the labour market.' The remarks – which came on A-level results day – appear to set Labour on course for a clash with one of their biggest voter bases, students, and come despite Sir Keir Starmer's promise to abolish university tuition fees entirely when he stood to be Labour leader in 2020. He rowed back on the pledge in 2023, saying it was no longer affordable as a result of the country's financial situation, instead promising Labour would come up with a 'fairer solution' if it formed the next government. It comes amid growing concern over the state of the education sector, with many universities facing financial crisis. As many as 40 per cent of English universities are expected to fall into a budget deficit this year, a report from the Office for Students (OfS) said. The OfS, which regulates higher education providers, said universities needed "significant reform and efficiencies" to turn the tide, despite some institutions already closing courses and selling buildings to cut costs. It said a drop in international students coming to the UK was the main reason for the worsening financial position. Speaking on Thursday, Ms Phillipson said the government had already taken action to help universities, but that there is more to do. Asked about universities' financial struggles, she told Times Radio: 'I've made it a priority to put our universities on a more sustainable footing. 'The action that we've taken in turning around the regulator, the Office for Students, much more of a focus on universities' financial health, but also the difficult but necessary decision that we took quite early on as a government to increase tuition fees to make sure that universities have a more stable funding stream into the future. 'There is more to do and later on this year we'll be setting out our plans for post-16 education overall, including universities, through a white paper we'll be publishing.' On international students, the education secretary said they made an 'important contribution' to the UK's universities and economy, and 'will always be welcome in the UK'. She added: 'It is also fair to say that some institutions, their business model has allowed them to become too dependent on international students, and therefore too open to any fluctuations that may happen around that.'


The Independent
2 minutes ago
- The Independent
Retired Army General says Trump needs to convince Putin that Russia can't win in Ukraine
Ahead of Donald Trump 's summit with Vladimir Putin in Alaska on Friday, retired U.S. Army Gen. Wesley Clark has said it is vital for the president to convince the Russian leader that he cannot win the war in Ukraine. Speaking on The Record with Greta Van Susteren on Newsmax on Wednesday, Clark, a former Democratic presidential candidate in 2004, warned that Putin would not respond to conventional diplomatic threats. 'We've made so many threats to Russia over the last six months about consequences, and they mostly get postponed,' Clark said. 'And so, I don't know – I hope the consequences will be a restart of U.S. military assistance from the Trump administration to Ukraine. Because really, when you get right down to it, I think the only way you're going to really halt President Putin's territorial ambitions is to convince him he cannot win.' He continued: 'Administration after administration has tried sanctions. Obama tried it. Biden tried it. It hasn't stopped anything and makes it more difficult. The Russians learn to live with it. 'And so putting sanctions on again – it sounds rough and tough. It avoids the threat of use of force, but ultimately it doesn't accomplish much.' As preparations for the Anchorage summit continue, Kremlin aide Yuri Ushakov has stated that the meeting at Joint Base Elmendorf-Richardson will be a one-on-one between Trump and Putin, with translators present, and that 'sensitive matters' will be discussed. In addition to the prospect of ending the war, which has raged since February 2022, enhanced economic cooperation and trade between the U.S. and Russia will also be on the table, Ushakov said. Both leaders will take part in a news conference once the summit is concluded, he added, as well as wider talks with their delegations and a working breakfast. On Wednesday, Trump attended a virtual meeting with European leaders, including Ukrainian President Volodymyr Zelensky, to discuss the goals of the summit and establish red lines that cannot be crossed. According to French President Emmanuel Macron, the American emphatically ruled out the prospect of Kyiv being invited to join NATO, a step that Moscow would have interpreted as a deliberate provocation. Trump himself warned afterwards that Russia would face 'very severe consequences' if Putin does not agree to a ceasefire but hinted that a follow-up meeting could be swiftly arranged if Friday's summit proves a success. Zelensky has since joined British Prime Minister Sir Keir Starmer in London, with the latter reiterating: 'International borders must not be changed by force and Ukraine must have robust and credible security guarantees to defend its territorial integrity as part of any deal.' Putin said on Thursday that Washington was making 'sincere efforts' to resolve the conflict in Ukraine and suggested that a new deal on nuclear arms control between Moscow and Washington could be on the cards.