Often viewed as a safe-haven asset, the price of gold increased by as much as 6.2% during the past month. That gain has now been erased to just 0.5% as better-than-expected economic data flowed in.
Protect Your Portfolio Against Market Uncertainty
- Discover companies with rock-solid fundamentals in TipRanks' Smart Value Newsletter.
- Receive undervalued stocks, resilient to market uncertainty, delivered straight to your inbox.
Gold in View Amid Positive Economic Developments
Gold prices have now shed nearly 5% during the past week amid the U.S. and China agreeing to lower their tariffs on each other by 115% for 90 days. Today, the April consumer price index (CPI) report showed that inflation grew by 2.3%, the lowest rate since February 2021. In addition, a stronger dollar and rising yields have also contributed to gold’s fall as the precious metal doesn’t pay interest.
Still, gold prices have soared by more 20% since the beginning of the year.
