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Below the Quote on Gold Commentary: 28th July 2025 by Mr. Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial services Ltd

Gold prices fell to their lowest in nearly two weeks, as a framework trade agreement between the US and EU reduced appetite for safe-haven assets. U.S. struck a framework trade agreement with EU, imposing a 15% import tariff on most EU goods - half threatened rate - and averting a bigger trade war between the two allies that account for almost a third of global trade. Agreement mirrors key parts of the framework accord reached by the U.S. with Japan, but like that deal, it leaves many questions open, including tariff rates on spirits, a highly charged topic for many on both sides of the Atlantic. Senior U.S. and Chinese negotiators will meet in Stockholm to tackle longstanding economic disputes at center of a trade war, aiming to extend a truce keeping sharply higher tariffs at bay. U.S. President Trump said he had a positive meeting with Powell, suggesting the Fed chief might be inclined to lower rates. Meanwhile, Federal Reserve is widely expected to leave its benchmark interest rate in 4.25%-4.50% range at conclusion of a two-day policy meeting. Fed Chair Powell has indicated the central bank should wait for further economic data before making any rate adjustments. Focus this week largely remain on Fed policy meeting. Along with that US GDP, consumer confidence, PCE price index, and non-farm payroll data will be in focus.

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