Update: Gold Edges Up Even as the Dollar and Yields Rise Following Bullish U.S. Economic Data

02:00 PM EDT, 09/25/2025 (MT Newswires) -- (Updates prices.)

Gold edged higher midafternoon on Thursday, rising off a day-prior drop even as the dollar and treasury yields rose after U.S. initial jobless claims slowed last week and second-quarter gross domestic product growth was revised higher.

Gold for December delivery was last seen up $4.70 to US$3,772.80 per ounce, after falling off a record US$3,815.70 set on Tuesday a day earlier.

The rise comes despite bullish U.S. economic data, with initial jobless claims last week falling to 218,000 new claims, down from 232,000 a week earlier and under the consensus estimate for a rise of 235,000, according to Marketwatch, while the U.S. Bureau of Economic Analysis issued its third revision to second-quarter GDP growth, saying the economy grew by 3.8%, up from its prior 3.3% estimate.

Still, expectations the Federal Reserve will continue to cut interest rates before year end are offering support to gold prices, while safe-haven buying and physical demand have also helped push the precious metal up 10% over the past month. Still, the CME Fedwatch tool now sees an 85.5% probability the Fed will cut rates by 25 basis points at the Oct.29 end to its next policy committee, down from 91.9% a day earlier.

"Mostly steady around all-time highs, supportive macro fundamentals are only part of the picture for current gold

pricing. While geopolitical tensions with Russia have grown, we still view pressure on the Fed's independence as the biggest potential upside driver beyond even our high scenario price forecasts," Christopher Louney, a commodities strategist at RBC Capital Markets, wrote.

The dollar rose early, with the ICE dollar index last seen up 0.68 points to 98.56, the highest since Aug.21. Treasury yields also rose, with the U.S. two-year note last seen paying 3.672%, up 6.0 basis points, while the yield on the 10-year note was up 3.6 points to 4.187%.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.