The US dollar firmed slightly at the start of the week, gaining 0.1% and recovering part of last week’s pullback. This stronger dollar added more downside pressure on gold. Meanwhile, other precious metals showed mixed performance—platinum gained 0.1% after steep losses, while silver remained flat after falling from near record highs. Traders remain cautious as they wait for more clues from upcoming U.S. data and the Fed minutes scheduled for Wednesday.

Despite the overall negative trend, gold briefly attempted to recover to levels near $4,105 during early European trading on Friday as the softer dollar provided temporary support. The reopening of the U.S. government also improved market sentiment, reducing safe-haven demand. Still, uncertainty remains around when the delayed economic reports will be released. Many analysts expect the data to show weaker job growth and signs of a slowdown, which could support gold prices in the short term if the dollar loses strength.

Hopes for a rate cut cooled further after recent comments from Fed officials. Kansas City Fed President Jeffery Schmid stated that monetary policy should continue to “lean against demand growth,” describing current rates as “modestly restrictive,” and appropriate. Markets have now adjusted, pricing in only a 54% chance of a rate cut in December—down from nearly 63% last week.

Gold remains under pressure due to stronger expectations that the Federal Reserve will hold rates steady and the temporary recovery in the US dollar. However, continued delays in key U.S. economic data and concerns about slower growth could limit further losses. Investors may consider watching gold closely around the $4,050–$4,100 range, as any signs of weakening U.S. data or softer dollar momentum could provide a short-term buying opportunity. Still, caution is advised until the market receives clearer signals from the upcoming Fed minutes and employment numbers.