The precious yellow metal fell more than 1.50% in intraday trading on Wednesday, extending its recent sharp decline as market participants braced for the release of the latest inflation report in the United States.
At 9.15 am, gold was at $4,078, down 0.50% since it opened in early trading on Thursday in the Asian session.
Gold remained under pressure with its price dragged towards $4,000 despite the US dollar recording a modest loss of 0.13%, as reflected by the US Dollar Index (DXY) which moved at 98.84 points.
Despite the significant daily decline, its annual gain is still high with a trend of more than 54% through 2025 amid speculation that the Fed will cut interest rates.
The market is pricing in 50 basis points of easing ahead of two meetings later this year.
This Friday, the US Bureau of Labor Statistics (BLS) will release the US Consumer Price Index (CPI) report for September, which analysts expect to remain steady at around 3.1%.
The latest news reports that the White House is considering restrictions on products exported to China that involve US software production.
