After the US Federal Reserve lowered interest rates.. gold retreats from its record highs

Gold prices fell from their all-time highs during trading on Thursday, September 18, affected by the rise of the dollar and the markets absorbing the statements of Federal Reserve Chairman Jerome Powell, which followed the central bank's decision to cut the interest rate by 25 basis points.

The Federal Reserve clarified in its statement that the policy of lowering borrowing costs will continue "steadily" for the rest of this year, and Powell described the decision to cut interest rates as a "risk management step in response to the weakness in the labor market".

The Fed Chairman emphasized that the central bank is "strongly committed to maintaining its independence", referring to the fact that the proposal to cut interest rates by 50 basis points did not receive broad support within the committee. He also indicated that tariffs "are likely to affect the labor market", expecting them to contribute to rising prices during this year and the next.

Expectations of a US interest rate cut, along with ongoing geopolitical tensions and strong purchases from central banks, contributed to a 39% increase in gold prices since the beginning of the year, after recording gains of 27% last year.

The decline recorded today coincided with the rise of the US dollar, which gained after the Fed meeting, as the rise of the US currency typically makes the precious metal more expensive for holders of other currencies.

In terms of trading, data showed that gold futures contracts fell by about 0.8% to $3689.3 per ounce, while the spot price of the yellow metal decreased by 0.1%, recording $3653 per ounce.