Gold futures drop over $80 as investors await trade policies updates

Gold bars

Gold prices declined on Thursday amid a strong US dollar, with investors awaiting trade developments and US jobs data set to be released tomorrow, May 2.

Demand for the yellow metal as a safe haven weakened as trade tensions eased somewhat, following US President Donald Trump's announcement of potential trade agreements with India, South Korea, and Japan.

Gold futures for June delivery fell 2.45%, or $81.40, to $3,237.70 an ounce as of 8:16 am KSA time, after posting monthly gains in April.

Spot gold also dropped 1.84%, or $60.42, to $3,228.29, trading at its lowest level since mid-April.

Silver futures for July delivery fell 1.81% to $32.24 an ounce, while spot platinum dropped 0.87% to $961.52.

Meanwhile, the US dollar index—which measures the performance of the dollar against a basket of six major currencies—rose 0.51% to 99.98.

Following official data showing the US economy contracted in the first quarter, markets are now awaiting April’s non-farm payrolls report, which may offer clues about the future path of interest rates.