President Donald Trump surprised investors once again regarding tax measures with China, stating that there might be no additional tariffs after discussions with President Xi Jinping.

Meanwhile, U.S. bond yields are declining following the Bank of Japan (BoJ) raising interest rates by 25 basis points.

In addition, the preliminary U.S. PMI economic data will be released this Friday, including the Consumer Confidence Index for January. However, risks affecting gold prices remain, such as potential interest rate cuts by the Federal Reserve and President Donald Trump's statements on tariffs.

Source: Fxstreet