Gold retreats from five-week high as investors book profits

Tue July 22 2025

Gold eased on Tuesday as investors booked profits after prices scaled a five-week high, while market participants focused on trade talks ahead of U.S. President Donald Trump's August 1 deadline.

Spot gold fell 0.2% to $3,388.13 per ounce by 1120 GMT. Earlier in the day, bullion hit its highest since June 17.

U.S. gold futures were down 0.3% at $3,397.80.

While prices were lower amid profit-booking, they remained close to the five-week high due to uncertainty ahead of Trump's August 1 tariff deadline, said Jigar Trivedi, a senior commodity analyst at Reliance Securities.

"Gold is likely to stay bullish. A strong resistance is seen near $3,420. On the flip side, $3,350 is a support," he said.

The U.S. dollar index (.DXY), opens new tab steadied against its rivals. A stronger dollar makes greenback-priced gold more expensive for other currency holders.

European Union diplomats said the bloc was exploring broader counter-measures against the United States as prospects for a trade agreement with Washington diminished. Trump has threatened 30% tariffs on European imports if no deal is reached before the August 1 deadline.

U.S. Treasury Secretary Scott Bessent said the administration prioritised the quality of trade deals over timing.

Source: https://www.reuters.com/