- Gold prices fell in Asian trading on Friday from their recent record highs. The stronger dollar pressured them, as traders bet that U.S. interest rates will remain unchanged in the short term.

- Nevertheless, the yellow metal remained above $3,000 per ounce, a level surpassed last week. Safe-haven demand remained high due to increasing uncertainty about the U.S. economy and President Donald Trump’s trade tariffs.

- Spot gold dropped by 0.5% to $3,029.61 per ounce, while gold futures expiring in May decreased by 0.2% to $3,037.09 per ounce.

- Spot prices hit a record high of $3,057.51 per ounce earlier this week.

- The decline in gold from its record highs was mainly driven by a recovery in the dollar, which regained all the losses incurred after Wednesday’s Federal Reserve meeting. The dollar was also supported by growing conviction that the Federal Reserve will keep interest rates unchanged in the short term, amid increasing uncertainty over economic growth and Trump’s tariffs.

- The central bank had kept interest rates unchanged earlier this week and indicated no short-term changes due to persistent inflation and the impact of Trump’s tariffs. The Fed also lowered its growth forecast for 2025 and raised its inflation outlook.

- This led traders to bet that the Federal Reserve will have little incentive to cut interest rates in the short term, especially as the central bank seeks more clarity on the economy and Trump’s tariffs.

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