Gold prices rebounded from their biggest one-day drop this year after US Federal Reserve officials suggested that a trade war with China may lead to interest rate cuts to protect the jobs market. In an interview, Fed Governor Christopher Waller stated that if tariffs remain aggressive, companies may lay off workers and he would support lowering rates to safeguard employment. Additionally, Fed Bank of Cleveland President Beth Hammack mentioned that the central bank could adjust interest rates as early as June if it has a clear picture of the economy’s direction.
Source: https://www.bloomberg.com/news/articles/2025-04-24/gold-rises-after-a-more-conciliatory-trump-spurs-steep-decline