Gold prices fall 3% after US-China deal

Gold prices fell 3% after the US-China deal. Illustration photo: AFP/GETTY IMAGES

At around 00:44 on May 13, 2025 Vietnam time, the spot price of gold fell 3% to $3,225.28/ounce. The precious metal, considered a hedge against economic and geopolitical instability, hit a record high of $3,500.05/ounce last month amid rising tariff uncertainty.

US gold futures closed down 3.5% to $3,228 an ounce.

According to the announcements from both sides, the US will cut additional tariffs on Chinese imports in April 2025 from 145% to 30%, and China's tariffs on US imports will be reduced from 125% to 10%. These new measures will take effect in 90 days.

In other markets after the deal, the dollar jumped to its highest level in more than a month and global stock markets rallied. A stronger greenback makes gold more expensive for investors holding other currencies.

Traders are now looking ahead to the US Consumer Price Index (CPI) data, due on May 13, 2025, for further guidance on the Federal Reserve’s policy path. Other key data releases this week include the producer price index (PPI) and retail sales.

Lower interest rates typically increase the appeal of gold bullion, which does not yield interest.

In other precious metals, spot silver fell 0.9% to $32.40 an ounce, platinum fell 1.9% to $976.06 an ounce and palladium fell 3.4% to $942.69 an ounce.

In Vietnam, early in the morning of May 13, 2025, Saigon Jewelry Company SJC listed the price of gold bars at 117.2 - 119.2 million VND/tael (buy - sell).

According to Vietnam+

Source: https://baodongkhoi.vn/gia-vang-giam-3-sau-thoa-thuan-my-trung-13052025-a146561.html