Gold prices were headed for a fourth consecutive weekly decline on Friday as a stronger US dollar and expectations of faster interest rate hikes in the United States to control inflation kept pressure on the precious metal, pushing gold close to the $4,000 per ounce level.
As of 04:41 GMT, spot gold fell 0.6% to $4,002.77 per ounce, while US gold futures for August delivery were trading 0.7% lower at $4,017.30.
Gold prices are expected to decline by 3.8% this week. On Wednesday, gold dropped below the key $4,000 mark for the first time since November 2025.
Oanda senior market analyst Kelvin Wong said that a rapid repricing of expectations regarding the US Federal Reserve’s tighter monetary policy stance created strong upward momentum for the US dollar, which ultimately led to the significant decline in gold prices.
The US Dollar Index remained near its highest level since May 2025 and was on track for a second consecutive weekly gain, making gold more expensive for buyers holding other currencies.
