Gold Tumbles Ahead of Fed Minutes Amid Interest Rate Uncertainty

Gold prices declined as investors anticipated the release of the Federal Reserve's July meeting minutes to gauge the outlook for US interest rates.

The FedWatch Tool, a CME data indicator, shows that traders are pricing in a 64% probability of maintaining current interest rates at the next meeting, versus a 36% chance of a rate hike.

This shift in expectations comes after a series of weaker-than-expected US economic data, leading to reduced anticipation for tighter monetary policy.

The volatile market environment is compounded by ongoing geopolitical uncertainty, including conflicting statements from US President Donald Trump and Iran regarding the Strait of Hormuz's status.