At the beginning of the Asian market on Thursday (April 24th), spot gold rebounded slightly and is currently trading around $3312.36 per ounce, supported by bargain hunting. The gold price continued its downward trend from a record high on Wednesday, falling nearly 3% and hitting a low of $3260.08 per ounce, closing at $3288.18 per ounce. Earlier, US President Trump stated that he did not intend to dismiss the Fed chairman and hinted at progress on tariffs. Investors' appetite for risk assets improved, and the US dollar and US stocks rebounded, suppressing the gold price. After the gold price was blocked from falling at the 3500 level, more short-term long profit taking also dragged down the gold price.

The hope for easing trade tensions and President Trump's abandonment of the threat to dismiss the Federal Reserve chairman have brought comfort to investors. The US dollar rebounded against major currencies on Wednesday, with the US dollar index rising 0.94%. The daily chart recorded two consecutive gains, reaching a high of 99.94 and closing at 99.90.

According to Refinitiv, a source familiar with the matter revealed on Wednesday that the Trump administration is considering reducing tariffs on imported goods from major Asian countries, and added that no action will be taken unilaterally. The hope of easing the trade war has boosted the exchange rates of the US dollar against the euro and Swiss franc.

In addition, US Treasury Secretary Vincent also stated that trade tensions may ease, and any trade agreement reached with Asian powers could significantly reduce tariffs.

Overall, people are very pleased with the possibility of negotiations between major powers, and we are seeing this trend having a significant impact on the market, "said Helen Given, Managing Director of Monex USA

The US Wall Street stock market also rose sharply on Wednesday, weakening the safe haven buying demand for gold.

As of Wednesday's close, the Dow Jones Industrial Average rose 419.59 points, or 1.07%, to 39606.57 points; The S&P 500 index rose 88.10 points, or 1.67%, to 5375.86 points; The Nasdaq index rose 407.63 points, or 2.50%, to 16708.05 points.

Russell Price, Chief Economist of Ameriprise, said, "President Trump has stated that he has no intention of firing Powell, and we may see a significant reduction in tariff rates targeting major Asian countries. So, this is clearly the positive news that the market wants to see, and they have indeed seen it," he added.

Phillip Streible, Chief Market Strategist at Blue Line Futures, said, "The market is starting to emerge from the shadow of the collapse caused by tariffs. You will see funds widely rotating out of some safe haven assets and chasing specific stocks such as Apple and Tesla

Driven by central bank buying, concerns over tariff wars, and strong investment demand, gold prices have risen by over 26% since the beginning of 2025, with a large number of long positions facing profit taking demand. Investors need to guard against the risk of further pullback in gold prices.

Ole Hansen, head of commodity strategy at Shengbao Bank, said in a report: "From a technical perspective, gold prices hit $3500, skyrocketed before this level, and then sharply reversed, which increases the risk of further pullbacks in the short term

On this trading day, the initial monthly rate of durable goods orders in the United States for March and the number of initial jobless claims for the week ending April 19th will be released. Investors need to pay attention to this. In addition, they need to continue to monitor the international trade and geopolitical situation.