Gold has fallen since the start of the week, down 0.70% and falling below $2,900 as investors worry about a recession in the United States amid President Donald Trump's controversial trade policies.
At 8.50 am, gold prices were at $2,885.19, down 0.14% since it opened in early trading on Tuesday in the Asian session.
US stock markets were lower, reflecting gloomy sentiment due to the ongoing economic slowdown.
Last Friday, Donald Trump in his speech mentioned a major shift in his administration to bring wealth back to the United States.
In addition, market participants took profits amid concerns about the US economy facing inflation challenges.
The latest data shows the economy is slowing sharply with the Atlanta Fed GDP forecasting the first quarter of 2025 at 2% to 4%, the first negative print since the Covid-19 pandemic.
Against this backdrop, traders will be watching the release of inflation data in the US. A tepid inflation report could dampen expectations of further easing by the Federal Reserve (Fed) and may deter the US central bank from cutting interest rates at its next meeting.
This week, the US economic docket will feature JOLTS Job Openings data on Tuesday, followed by the release of the Consumer Price Index (CPI) on Wednesday.
