Gold Prices Hit by Rebounding Dollar and Slower Gold ETF Inflows

SEATTLE (Scrap Monster): The most recent edition of the Weekly Markets Monitor Report published by the World Gold Council (WGC) indicates that gold prices fell last week, mainly on account of several factors, including rebounding dollar, slowdown in inflows into gold-backed exchange traded funds (ETFs).

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According to the gold trade body, LBMA Gold Price PM in USD declined by 1.9% to close Friday at US$3,368 per ounce. Meanwhile, the yellow metal has delivered an impressive year-to-date return of 29% in 2025. The pricing trends suggest that gold has retreated. The key support from its medium-term 55-day average, is now seen at US$3,294 per ounce. This levels needs to be held in order to prevent a more protracted correction.

WGC report stated that gold investors appear to be on sidelines, closely monitoring the current Iran-Israel conflict. Going ahead, the rising geopolitical tensions are expected to stay front and centre for gold.

The macro data to be released will have a lesser impact on gold this week, as the world is seen eagerly looking for further developments in the Middle East. The softening of core US PCE inflation along with a weaker hard data could trigger future rate cuts, thus providing support to gold prices, WGC report said.