{"id":21212,"date":"2025-04-25T08:44:09","date_gmt":"2025-04-25T08:44:09","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=21212"},"modified":"2025-04-25T08:44:09","modified_gmt":"2025-04-25T08:44:09","slug":"gold-reverses-as-safe-haven-demand-dips","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-asia\/analysis\/gold-reverses-as-safe-haven-demand-dips\/","title":{"rendered":"Gold Reverses as Safe-Haven Demand Dips"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"559\" src=\"https:\/\/www.vtmarkets.com\/en-asia\/wp-content\/uploads\/sites\/27\/2026\/03\/gold9-1024x559.png\" alt=\"\" class=\"wp-image-16982\" \/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Gold dipped to $3,310\/oz<\/strong>, down from a midweek high of <strong>$3,500<\/strong>.<\/li>\n\n\n\n<li><strong>China may reduce tariffs<\/strong> on U.S. imports, boosting risk sentiment.<\/li>\n\n\n\n<li><strong>Trump confirmed trade talks<\/strong> with China are ongoing, despite Beijing\u2019s denial.<\/li>\n\n\n\n<li>The <strong>gold-to-silver ratio hit a 30-year high<\/strong> (excluding the pandemic era).<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\" \/>\n\n\n\n<p>After hitting a <strong>record high of $3,500<\/strong> earlier in the week, <strong>gold prices have given up most gains<\/strong>, falling back to the <strong>$3,296\u2013$3,310 zone<\/strong>. The reversal comes as traders shift focus from monetary concerns to improving geopolitical sentiment, sparked by a possible <strong>de-escalation in U.S.\u2013China trade tensions<\/strong>.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Gold\u2019s record-setting rally is making ever-larger waves in China by stoking retail demand, fanning unprecedented volumes, feeding volatility, and drawing warnings from the authorities  <a href=\"https:\/\/t.co\/U92I0qpFU2\">https:\/\/t.co\/U92I0qpFU2<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/1915558927476891764?ref_src=twsrc%5Etfw\">April 25, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Gold&#8217;s status as a safe haven came under pressure following reports that <strong><a href=\"https:\/\/www.reuters.com\/world\/china\/china-considers-exempting-some-goods-us-tariffs-source-says-2025-04-25\/\">Beijing is actively identifying U.S. products for potential tariff exemption<\/a><\/strong>, signaling a thaw in relations. This followed <strong>President Trump&#8217;s statement that trade talks are still active<\/strong>, countering China\u2019s earlier claim that no formal discussions had resumed.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Macro Drivers<\/h2>\n\n\n\n<p>Markets reacted swiftly to this unexpected shift in tone, with risk assets gaining and safe-haven flows pulling back. The <strong>dollar firmed modestly<\/strong>, and <strong><a href=\"https:\/\/www.cnbc.com\/2025\/04\/23\/us-treasury-yields-trump-backtracks-plans-to-axe-fed-chief.html\">U.S. yields stabilised<\/a><\/strong>, further weighing on gold. Earlier in the week, concerns around <strong><a href=\"https:\/\/www.cnn.com\/2025\/04\/23\/business\/trump-jerome-powell\/index.html\">Trump\u2019s criticism of the Fed<\/a><\/strong> and broader <strong>U.S. economic worries<\/strong> had briefly driven gold to fresh highs.<\/p>\n\n\n\n<p>Now, those fears are fading. The narrative has shifted toward <strong>tariff relief<\/strong>, which has historically correlated with gold pullbacks.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p><strong>Gold (XAUUSD)<\/strong> experienced a steep pullback after testing the intraday high at <strong>3370.77<\/strong>, with sellers regaining control and dragging prices down to a low of <strong>3287.20<\/strong>. The price has since attempted to consolidate around <strong>3296<\/strong>, but the <strong>MACD remains firmly in bearish territory<\/strong>, with the histogram printing consecutive red bars and the signal line diverging below the MACD line.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-asia\/wp-content\/uploads\/sites\/27\/2026\/03\/image-31-1024x446.jpg\" alt=\"\" class=\"wp-image-21213\" \/><\/figure>\n\n\n\n<p class=\"has-text-align-center\"><em>Picture: Gold breaks lower after a failed push to 3370, with bears tightening their grip as momentum flips decisively south, as seen on the <a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\">VT Markets app<\/a><\/em><\/p>\n\n\n\n<p><strong>Short-term momentum<\/strong> is clearly downward, reinforced by the <strong>5-10-30 moving average alignment<\/strong>, where all three are sloping lower and acting as dynamic resistance. The <strong>failure to sustain above 3330<\/strong> triggered the cascade, and price action is now hovering near <strong>support from April 24 at 3260.27<\/strong>.<\/p>\n\n\n\n<p>Unless bulls defend the current zone and reclaim the <strong>3305\u20133315<\/strong> range, <strong>momentum favors continued downside<\/strong>, possibly targeting the <strong>3260<\/strong> region again in the near term.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Market Outlook<\/h2>\n\n\n\n<p>Despite today\u2019s retreat, gold remains <strong><a href=\"https:\/\/www.visualcapitalist.com\/asset-class-returns-in-q1-2025\/\">one of the best-performing assets of 2025<\/a><\/strong>, and broader macro risks haven\u2019t fully abated. However, near-term upside may remain capped as traders seek clarity on U.S.\u2013China trade dynamics and <strong>Fed policy expectations<\/strong> ahead of next week\u2019s inflation data.<\/p>\n\n\n\n<p>Unless new tensions flare or economic data surprises to the downside, <strong>gold may consolidate further<\/strong>, with the current pullback offering a test of how sticky safe-haven demand remains.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a><\/strong><strong> and <\/strong><strong><a href=\"https:\/\/myaccount.vtmarkets.com\/login?_gl=1*1azgbap*_gcl_au*NjE5NTE3MjY4LjE3NDQ2MDA3NDI.*_ga*MTY4OTgwNTU5Mi4xNzM2NzQ2MTgy*_ga_J26NL1ZVX7*czE3NDQ5NDQ0NTYkbzEyMCRnMCR0MTc0NDk0NDQ1NiRqNjAkbDAkaDA.\">start trading<\/a><\/strong><strong> now.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gold prices retreated from recent highs as signs of easing U.S.\u2013China trade tensions reduced traders demand for safe-haven assets. &#8211; vtmarkets.com<\/p>\n","protected":false},"author":64,"featured_media":16982,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[6],"class_list":["post-21212","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-gold"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/21212","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/users\/64"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/comments?post=21212"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/21212\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media\/16982"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media?parent=21212"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/categories?post=21212"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/tags?post=21212"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}